Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document - Document and Entity Information [Abstract] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2017 |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | FY |
Trading Symbol | CSTM |
Entity Registrant Name | Constellium N.V. |
Entity Central Index Key | 1,563,411 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | Yes |
Entity Current Reporting Status | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Common Stock, Shares Outstanding | 134,510,623 |
Consolidated Income Statement
Consolidated Income Statement - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Profit or loss [abstract] | |||
Revenue | € 5,237 | € 4,743 | € 5,153 |
Cost of sales | (4,698) | (4,227) | (4,703) |
Gross profit | 539 | 516 | 450 |
Selling and administrative expenses | (248) | (254) | (245) |
Research and development expenses | (36) | (32) | (35) |
Restructuring costs | (4) | (5) | (8) |
Impairment | (457) | ||
Other gains / (losses)-net | 70 | 21 | (131) |
Income / (loss) from operations | 321 | 246 | (426) |
Finance costs-net | (243) | (167) | (155) |
Share of loss of joint-ventures | (29) | (14) | (3) |
Income / (loss) before income tax | 49 | 65 | (584) |
Income tax (expense) / benefit | (80) | (69) | 32 |
Net loss | (31) | (4) | (552) |
Net (loss) / income attributable to: | |||
Equity holders of Constellium | (31) | (4) | (554) |
Non-controlling interests | 2 | ||
Net loss | € (31) | € (4) | € (552) |
Earnings per share attributable to the equity holders of Constellium | |||
Basic | € (0.28) | € (0.04) | € (5.27) |
Diluted | € (0.28) | € (0.04) | € (5.27) |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income / (Loss) - EUR (€) € in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Statement of comprehensive income [abstract] | ||||
Net loss | € (31) | € (4) | € (552) | |
Items that will not be reclassified subsequently to the consolidated Income Statement | ||||
Remeasurement on post-employment benefit obligations | 12 | (20) | (7) | |
Income tax on remeasurement on post-employment benefit obligations | (8) | 2 | 20 | |
Cash flow hedge | [1] | (9) | ||
Income tax on cash flow hedge | 3 | |||
Items that may be reclassified subsequently to the consolidated Income Statement | ||||
Cash flow hedge | [2] | 46 | (27) | |
Income tax on cash flow hedge | (15) | 9 | ||
Currency translation differences | (20) | 6 | 34 | |
Other comprehensive income / (loss) | 15 | (30) | 41 | |
Total comprehensive loss | (16) | (34) | (511) | |
Attributable to: | ||||
Equity holders of Constellium | (15) | (34) | (513) | |
Non-controlling interests | (1) | 2 | ||
Total comprehensive loss | € (16) | € (34) | € (511) | |
[1] | Relates to foreign currency hedging of the estimated U.S. Dollar Wise acquisition price | |||
[2] | Relates to foreign currency hedging of certain forecasted sales in U.S. Dollar |
Consolidated Statement of Finan
Consolidated Statement of Financial Position - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets | ||
Cash and cash equivalents | € 269 | € 347 |
Trade receivables and other | 419 | 355 |
Inventories | 643 | 591 |
Other financial assets | 69 | 117 |
Total current assets | 1,400 | 1,410 |
Non-current assets | ||
Property, plant and equipment | 1,517 | 1,477 |
Goodwill | 403 | 457 |
Intangible assets | 68 | 79 |
Investments accounted for under the equity method | 1 | 16 |
Deferred income tax assets | 164 | 252 |
Trade receivables and other | 48 | 47 |
Other financial assets | 110 | 49 |
Total non-current assets | 2,311 | 2,377 |
Total Assets | 3,711 | 3,787 |
Current liabilities | ||
Trade payables and other | 930 | 839 |
Borrowings | 106 | 107 |
Other financial liabilities | 23 | 34 |
Income tax payable | 11 | 13 |
Provisions | 40 | 42 |
Total current liabilities | 1,110 | 1,035 |
Non-current liabilities | ||
Trade payables and other | 54 | 59 |
Borrowings | 2,021 | 2,361 |
Other financial liabilities | 43 | 30 |
Pension and other post-employment benefit obligations | 664 | 735 |
Provisions | 113 | 107 |
Deferred income tax liabilities | 25 | 30 |
Total non-current liabilities | 2,920 | 3,322 |
Total Liabilities | 4,030 | 4,357 |
Equity | ||
Share capital | 3 | 2 |
Share premium | 420 | 162 |
Retained deficit and other reserves | (750) | (743) |
Equity attributable to equity holders of Constellium | (327) | (579) |
Non-controlling interests | 8 | 9 |
Total Equity | (319) | (570) |
Total Equity and Liabilities | € 3,711 | € 3,787 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - EUR (€) € in Millions | Total | Share capital [member] | Share premium [member] | Remeasurement [member] | Cash flow hedges [member] | Foreign currency translation reserve [member] | Other reserves [member] | Retained losses [member] | Total Equity holders of Constellium [member] | Non-controlling interests [member] |
Beginning balance at Dec. 31, 2014 | € (37) | € 2 | € 162 | € (146) | € 6 | € (28) | € 6 | € (45) | € (43) | € 6 |
Net (loss) / Income | (552) | (554) | (554) | 2 | ||||||
Other comprehensive income / (loss) | 41 | 13 | (6) | 34 | 41 | |||||
Total comprehensive income / (loss) | (511) | 13 | (6) | 34 | (554) | (513) | 2 | |||
Share-based compensation | 5 | 5 | 5 | |||||||
Transactions with non-controlling interests | 3 | 3 | ||||||||
Ending balance at Dec. 31, 2015 | (540) | 2 | 162 | (133) | 6 | 11 | (599) | (551) | 11 | |
Net (loss) / Income | (4) | (4) | (4) | |||||||
Other comprehensive income / (loss) | (30) | (18) | (18) | 6 | (30) | |||||
Total comprehensive income / (loss) | (34) | (18) | (18) | 6 | (4) | (34) | ||||
Share-based compensation | 6 | 6 | 6 | |||||||
Transactions with non-controlling interests | (2) | (2) | ||||||||
Ending balance at Dec. 31, 2016 | (570) | 2 | 162 | (151) | (18) | 12 | 17 | (603) | (579) | 9 |
Net (loss) / Income | (31) | (31) | (31) | |||||||
Other comprehensive income / (loss) | 15 | 4 | 31 | (19) | 16 | (1) | ||||
Total comprehensive income / (loss) | (16) | 4 | 31 | (19) | (31) | (15) | (1) | |||
Share issuance | 259 | 1 | 258 | 259 | ||||||
Share-based compensation | 8 | 8 | 8 | |||||||
Ending balance at Dec. 31, 2017 | € (319) | € 3 | € 420 | € (147) | € 13 | € (7) | € 25 | € (634) | € (327) | € 8 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement of cash flows [abstract] | |||
Net loss | € (31) | € (4) | € (552) |
Adjustments | |||
Depreciation and amortization | 171 | 155 | 140 |
Finance costs-net | 243 | 167 | 155 |
Income tax expense / (benefit) | 80 | 69 | (32) |
Share of loss of joint-ventures | 29 | 14 | 3 |
Unrealized (gains) / losses on derivatives-net and from remeasurement of monetary assets and liabilities-net | (54) | (74) | 23 |
Losses on disposal | 3 | 10 | 5 |
Impairment | 457 | ||
Other-net | 7 | (14) | 5 |
Interest paid | (185) | (174) | (143) |
Income tax paid | (18) | (14) | (9) |
Change in trade working capital | |||
Inventories | (99) | (42) | 149 |
Trade receivables | (91) | 28 | 343 |
Margin calls | 1 | ||
Trade payables | 124 | (18) | (161) |
Change in provisions and pension obligations | (7) | (5) | (20) |
Other working capital | (12) | (10) | 4 |
Net cash flows from operating activities | 160 | 88 | 368 |
Purchases of property, plant and equipment | (276) | (355) | (350) |
Acquisition of subsidiaries net of cash acquired | 21 | (348) | |
Proceeds from disposals net of cash | 2 | (5) | 4 |
Equity contribution and loan to joint-ventures | (41) | (37) | (34) |
Other investing activities | 23 | 11 | 6 |
Net cash flows (used in) / from investing activities | (292) | (365) | (722) |
Net proceeds received from issuance of shares | 259 | ||
Proceeds from issuance of Senior Notes | 1,440 | 375 | |
Repayment of Senior Notes | (1,559) | (148) | |
Proceeds / (Repayments) from revolving credit facilities and other loans | 29 | (69) | (211) |
Payment of deferred financing costs and exit fees | (118) | (19) | (2) |
Transactions with non-controlling interests | (2) | 3 | |
Other financing activities | 10 | 8 | 45 |
Net cash flows from / (used in) financing activities | 61 | 145 | (165) |
Net (decrease) / increase in cash and cash equivalents | (71) | (132) | (519) |
Cash and cash equivalents-beginning of period | 347 | 472 | 991 |
Cash and cash equivalents classified as held for sale-beginning of period | 4 | ||
Effect of exchange rate changes on cash and cash equivalents | (7) | 3 | 4 |
Cash and cash equivalents-end of period | 269 | 347 | 476 |
Less: cash and cash equivalents classified as held for sale | (4) | ||
Cash and cash equivalents as reported in the Consolidated Statement of Financial Position | € 269 | € 347 | € 472 |
General Information
General Information | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
General Information | NOTE 1—GENERAL INFORMATION Constellium is a global leader in the design and manufacture of a broad range of innovative specialty rolled and extruded aluminium products, serving primarily the packaging, aerospace and automotive end-markets. Constellium is a public company with limited liability. The business address (head office) of Constellium N.V. is Tupolevlaan 41-61, Unless the context indicates otherwise, when we refer to “we”, “our”, “us”, “Constellium”, the “Group” and the “Company” in this document, we are referring to Constellium N.V. and its subsidiaries. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Significant Accounting Policies | NOTE 2—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES 2.1 Statement of compliance The consolidated financial statements of Constellium N.V. and its subsidiaries have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB) and as endorsed by the European Union (EU). The Group’s application of IFRS results in no difference between IFRS as issued by the IASB and IFRS as endorsed by the EU (https://ec.europa.eu/info/law/international-accounting-standards-regulation-ec-no-1606-2002_en). The consolidated financial statements have been authorized for issue by the Board of Directors on March 8, 2018. 2.2 Application of new and revised IFRS The following new standards and amendments apply to the Group for the first time in 2017. • Amendments to IAS 7, ‘Disclosure Initiative’ The amendments to IAS 7, ‘Statement of Cash Flows’, are part of the IASB’s Disclosure Initiative and require an entity to provide disclosures that enable users of financial statements to evaluate changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash • Amendments to IAS 12, ‘Recognition of Deferred Tax Assets for Unrealised Losses’ • Annual improvements 2014-2016 – IFRS 12, ‘Disclosure of Interests in Other Entities’: Clarifying the scope The amendments to IAS 12 and annual improvements 2014-2016 to IFRS 12 do not have any impact on the consolidated financial statements of the Group. 2.3 New standards and interpretations not yet mandatorily applicable The Group has not applied the following new standards and interpretations that have been issued but are not yet effective and which could affect the Group’s future Consolidated Financial Statements: IFRS 15, ‘Revenue from contracts with customers’ and its clarifications deal with revenue recognition and establish principles for reporting information to users of financial statements about the nature, amount, timing and uncertainty of revenue and cash flows arising from an entity’s contracts with customers. Revenue is recognized when a customer obtains control of a good or service and thus has the ability to direct the use and obtain the benefits from the good or service. The standard replaces IAS 18, ‘Revenue’ and IAS 11, ‘Construction contracts and related interpretations’. The clarifications provide guidance on identifying performance obligations, the principal versus agent assessment, accounting for licenses of intellectual property, and transition to the new revenue standard. The Group has completed its assessment of the expected impact of IFRS 15 on its consolidated financial position and results of operations. IFRS 15 requires the Group to recognize revenue over time for products that have no alternative use and for which the Group has an enforceable right to payment for production completed to date. In certain limited circumstances this could result in recognizing revenue earlier than under current IFRS rules which require recognition at a point in time. However, based on the analysis performed, the Group does not anticipate the adoption of IFRS 15 to result in any significant impact on its financial position or results of operations. The Group intends to use the cumulative effect method on January 1, 2018. Adoption of the standard will likely increase the level of revenue disclosures in the financial statements. The standard and its clarifications will be effective for accounting periods beginning on or after January 1, 2018. IFRS 16, ‘Leases’, deals with principles for the recognition, measurement, presentation and disclosures of leases. The standard provides an accounting model, requiring lessee to recognize assets and liabilities for all leases unless the lease term is 12 months or less or the underlying asset has a low value. The lessor accounting approach remains unchanged. The Group is currently evaluating the impact of the standard on our consolidated financial position and results of operations. The Group expects that the adoption will result in an increase of non-current non-current The standard will replace IAS 17, ‘Leases’ and will be effective for accounting periods beginning on or after January 1, 2019. IFRS 9, ‘Financial instruments’, addresses the classification, measurement and recognition of financial assets and financial liabilities. It will replace the guidance in IAS 39, ‘Financial instruments’ that relates to the classification and measurement of financial instruments. Modifications introduced by IFRS 9 relate primarily to: • classification and measurement of financial assets. The basis of classification depends on the entity’s business model and the contractual cash flow characteristics of the financial asset. • impairment of receivables, now based on the expected credit loss model. • hedge accounting. The Group does not anticipate that the adoption will result in any significant impact on its financial statements. The Group does not plan to adopt the provisions of IFRS 9 on hedge accounting and will continue applying IAS 39. The standard will be effective for accounting periods beginning on or after January 1, 2018. IFRIC 23, ‘Uncertainty over Income Tax Treatments’ This interpretation provides a framework to consider, recognize and measure the accounting impact of tax uncertainties. It specifies how to determine the unit of account and the recognition and measurement guidance to be applied to that unit. The Interpretation also explains when to reconsider the accounting for a tax uncertainty, and it states specifically that the absence of comment from the tax authority is unlikely, in isolation, to trigger a reassessment. The impact of this interpretation on the Group’s results and financial situation is currently being evaluated. The interpretation is effective for annual periods beginning on or after January 1, 2019. The Group plans to adopt the new standards and interpretations on their required effective dates. 2.4 Basis of preparation In accordance with IAS 1, ‘Presentation of Financial Statements’, the Consolidated Financial Statements are prepared on the assumption that Constellium is a going concern and will continue in operation for the foreseeable future. The financial position of the Group, its cash flows, liquidity position and borrowing facilities are described in the financial statements respectively in NOTE 12—Cash and Cash Equivalents, NOTE 20—Borrowings and NOTE 22—Financial Risk Management. The Group’s forecasts and projections, taking account of reasonably possible changes in trading performance, including an assessment of the current macroeconomic environment, indicate that the Group should be able to operate within the level of its current facilities and related covenants. Accordingly, the Group continues to adopt the going concern basis in preparing the Consolidated Financial Statements. Management considers that this assumption is not invalidated by the Group’s negative equity at December 31, 2017. This assessment was confirmed by the Board of Directors on March 8, 2018. 2.5 Presentation of the operating performance of each operating segment and of the Group In accordance with IFRS 8, ‘Operating Segments’, operating segments are based upon product lines, markets and industries served, and are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker (“CODM”). The CODM, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the Chief Executive Officer. Constellium’s CODM measures the profitability and financial performance of its operating segments based on Adjusted EBITDA as it illustrates the underlying performance of continuing operations by excluding certain non-recurring non-operating start-up non-recurring 2.6 Principles governing the preparation of the Consolidated Financial Statements Basis of consolidation These consolidated financial statements include all the assets, liabilities, equity, revenues, expenses and cash flows of the entities and businesses controlled by Constellium. All intercompany transactions and balances are eliminated. Subsidiaries are entities over which the Group has control. The Group controls an entity when the Group has power over the investee, is exposed to, or has rights to variable returns from its involvement in the entity and has the ability to affect those returns through its power over the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases. Investments over which the Group has significant influence or joint control are accounted for under the equity method. The investments are initially recorded at cost. Subsequently they are increased or decreased by the Group’s share in the profit or loss, or by other movements reflected directly in the equity of the entity. Business combination The Group applies the acquisition method to account for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair value of the assets transferred, the liabilities assumed and the equity interests issued by the Group. The consideration transferred includes the fair value of any asset or liability resulting from a contingent consideration arrangement. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The amount of non-controlling Goodwill is initially measured as the excess of the aggregate of the consideration transferred and the amount of non-controlling At the acquisition date, the Group recognizes the identifiable acquired assets, liabilities and contingent liabilities (identifiable net assets) of the subsidiaries on the basis of fair value at the acquisition date. Recognized assets and liabilities may be adjusted during a maximum of 12 months from the acquisition date, depending on new information obtained about the facts and circumstances existing at the acquisition date. Significant assumptions used in determining allocation of fair value include the following valuation techniques: the cost approach, the income approach and the market approach which are determined based on cash flow projections and related discount rates, industry indices, market prices regarding replacement cost and comparable market transactions. Acquisition related costs are expensed as incurred and included in Other gains / (losses)—net in the Consolidated Income Statement. Cash-generating units The reporting units (which generally correspond to an industrial site), the lowest level of the Group’s internal reporting, have been identified as its cash-generating units. Goodwill Goodwill arising from a business combination is carried at cost as established at the date of the business combination less accumulated impairment losses, if any. Goodwill is allocated and monitored at the operating segments level which are the groups of cash-generating units that are expected to benefit from the synergies of the combination. The operating segments represent the lowest level within the Group at which the goodwill is monitored for internal management purposes. Gains and losses on the disposal of a cash-generating unit include the carrying amount of goodwill relating to the cash-generating unit sold. Impairment of goodwill A group of cash-generating units to which goodwill is allocated is tested for impairment annually, or more frequently when there is an indication that the group of units may be impaired. The net carrying value of a group of cash-generating units is compared to its recoverable amount, which is the higher of the value in use and the fair value less cost of disposal. Value in use calculations use cash flow projections based on financial budgets approved by management and covering usually a 5-year The value in use is the sum of discounted cash flows over the projected period and the terminal value. Discount rates are determined based on the weighted-average cost of capital of each operating segment. The fair value is the price that would be received for the group of cash-generating units, in an orderly transaction, from a market participant. This value is estimated on the basis of available and relevant market data or a discounted cash flow model reflecting market participant assumptions. An impairment loss is recognized for the amount by which the group of units carrying amount exceeds its recoverable amount. Any impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the group of cash-generating units and then, to the other assets of the group of units pro rata on the basis of the carrying amount of each asset in the group of units. Any impairment loss is recognized in the line Impairment in the Consolidated Income Statement. An impairment loss recognized for goodwill cannot be reversed in subsequent periods. Non-current IFRS 5 ‘Non-current Assets and liabilities are classified as held for sale when their carrying amount will be recovered principally through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the non-current Assets and liabilities are stated at the lower of carrying amount and fair value less costs to sell if their carrying amount is to be recovered principally through a sale transaction rather than through continuing use. Assets and liabilities held for sale are presented in separate line items in the Consolidated Statement of Financial Position of the period during which the decision to sell is made. The results of discontinued operations are shown separately in the Consolidated Income Statement and Consolidated Statement of Cash Flows. Foreign currency transactions and foreign operations Functional currency Items included in the consolidated financial statements of each of the entities and businesses of Constellium are measured using the currency of the primary economic environment in which each of them operates (their functional currency). Foreign currency transactions Transactions denominated in currencies other than the functional currency are recorded in the functional currency at the exchange rate in effect at the date of the transaction. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end Foreign operations: presentation currency and foreign currency translation In the preparation of the Consolidated Financial Statements, the year-end year-end The net differences arising from exchange rate translation are recognized in the Consolidated Statement of Comprehensive Income / (Loss). The following table summarizes the main exchange rates used for the preparation of the Consolidated Financial Statements : Foreign exchange rate for 1 Euro Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 Average rate Closing rate Average rate Closing rate Average rate Closing rate U.S. Dollars USD 1.1273 1.1993 1.1063 1.0541 1.1089 1.0887 Swiss Francs CHF 1.1103 1.1702 1.0901 1.0739 1.0669 1.0835 Czech Koruna CZK 26.3151 25.5349 27.0342 27.0210 27.2762 27.0226 Revenue recognition Revenue is measured at the fair value of the consideration received or receivable. Revenue from product sales, net of trade discounts, allowances and volume-based incentives, is recognized once delivery has occurred, and provided persuasive evidence that the following criteria are met: - The significant risks and rewards of ownership of the product have been transferred to the buyer; - Neither continuing managerial involvement to the degree usually associated with ownership, nor effective control over the goods sold, has been retained by Constellium; - The amount of revenue can be measured reliably; - It is probable that the economic benefits associated with the sale will flow to Constellium; and - The costs incurred or to be incurred in respect of the sale can be measured reliably. The Group also enters into tolling agreements whereby clients provide the metal which the Group will then manufacture for them. In these circumstances, revenue is recognized when services are provided at the date of redelivery of the manufactured metal. Amounts billed to customers in respect of shipping and handling are classified as revenue when the Group is responsible for carriage, insurance and freight. All shipping and handling costs incurred by the Group are recognized in Cost of sales. Deferred tooling revenue and related costs Certain automotive long term contracts include the design and manufacture of customized parts. To manufacture such parts, certain specialized or customized tooling is required. In accordance with IAS 11 ‘Construction Contracts’, the Group accounts for the tooling revenue and related costs provided by third party manufacturers on the basis of percentage of completion of the contract. Research and development costs Costs incurred on development projects are recognized as intangible assets when the following criteria are met: - It is technically feasible to complete the intangible asset so that it will be available for use; - Management intends to complete and use the intangible asset; - There is an ability to use the intangible asset; - It can be demonstrated how the intangible asset will generate probable future economic benefits; - Adequate technical, financial and other resources to complete the development and use or sell the intangible asset are available; and - The expenditure attributable to the intangible asset during its development can be reliably measured. Development expenditures which do not meet these criteria are expensed as incurred. Development costs previously recognized as expenses are not recognized as an asset in a subsequent period. Other gains / (losses)—net Other gains / (losses)—net include: (i) realized and unrealized gains and losses on derivatives contracted for commercial purposes and accounted for at fair value through profit or loss, (ii) unrealized exchange gains and losses from the remeasurement of monetary assets and liabilities and (iii) ineffective portion of changes in fair value of derivatives, which are designated for hedge accounting. Other gains / (losses)—net separately identifies other unusual, infrequent or non-recurring Interest income and expense Interest income is recorded using the effective interest rate method on loans receivables and on the interest bearing components of cash and cash equivalents. Interest expense on short and long-term financing is recorded at the relevant rates on the various borrowing agreements. Borrowing costs (including interests) incurred for the construction of any qualifying asset are capitalized during the period of time required to complete and prepare the asset for its intended use. Share-based payment arrangements Equity-settled share-based payments to employees and Board members providing similar services are measured at the fair value of the equity instruments at the grant date. The fair value determined at the grant date is expensed on a straight-line basis over the vesting period, based on the Group’s estimate of equity instruments that will eventually vest, with a corresponding increase in equity. At the end of each reporting year, the Group revises its estimate of the number of equity instruments expected to vest. Property, plant and equipment Recognition and measurement Property, plant and equipment acquired by the Company are recorded at cost, which comprises the purchase price (including import duties and non-refundable work-in-progress Subsequent costs Enhancements and replacements are capitalized as additions to Property, plant and equipment only when it is probable that future economic benefits associated with them will flow to the Company and the cost of the item can be measured with reliability. Ongoing regular maintenance costs related to Property, plant and equipment are expensed as incurred. Depreciation Land is not depreciated. Property, plant and equipment are depreciated over the estimated useful lives of the related assets using the straight-line method as follows: - Buildings 10 – 50 years; - Machinery and equipment 3 – 40 years; and - Vehicles 5 – 8 years. Intangible assets Recognition and measurement Technology and Customer relationships acquired in a business combination are recognized at fair value at the acquisition date. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and impairment losses. The useful lives of the Group intangible assets are assessed to be finite. Amortization Intangible assets are amortized over the estimated useful lives of the related assets using the straight-line method as follows: - Technology 20 years; - Customer relationships 25 years; and - Software 3 – 5 years. Impairment of property, plant and equipment and intangible assets Property, plant and equipment and intangible assets subject to amortization are reviewed for impairment if there is any indication that the carrying amount of the asset (or cash-generating unit to which it belongs) may not be recoverable. The recoverable amount is based on the higher of fair value less cost of disposal (market value) and value in use (determined using estimates of discounted future net cash flows of the asset or group of assets to which it belongs). Any impairment loss is recognized in the line Impairment in the Consolidated Income Statement. Financial instruments (i) Financial assets Financial assets are classified either: (a) at fair value through profit or loss, or as (b) loans and receivables. The classification depends on the purpose for which the financial assets were acquired. Management determines the classification of Constellium’s financial assets at initial recognition. (a) At fair value through profit or loss: These are financial assets held for trading. A financial asset is classified in this category if it is acquired principally for the purpose of selling in the short term. Derivatives are categorized as held for trading except when they are designated as hedging instruments in a hedging relationship that qualifies for hedge accounting in accordance with IAS 39, ‘Financial instruments’. Financial assets carried at fair value through profit or loss are initially recognized at fair value and transaction costs are expensed in the Consolidated Income Statement. (b) Loans and receivables: These are non-derivative non-current non-current (ii) Financial liabilities Borrowings and other financial liabilities (excluding derivative liabilities) are recognized initially at fair value, net of transaction costs incurred and directly attributable to the issuance of the liability. These financial liabilities are subsequently measured at amortized cost using the effective interest rate method. Any difference between the amounts originally received (net of transaction costs) and the redemption value is recognized in the Consolidated Income Statement using the effective interest rate method. (iii) Derivative financial instruments Derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently re-measured For derivative instruments that do not qualify for hedge accounting, changes in the fair value are recognized immediately in profit or loss and are included in ‘Other gains / (losses)—net’. For derivative instruments that are designated for hedge accounting, the group documents at the inception of the hedging transaction the relationship between hedging instruments and hedged items, as well as its risk management objective and strategy for undertaking the hedge transaction. The group also documents its assessment, both at hedge inception and on an ongoing basis, of whether the derivatives that are used in hedging transactions have been and will continue to be highly effective in offsetting changes in cash flows of hedged items. The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges is recognized in Other Comprehensive Income and accumulated in reserves in equity. The gain or loss relating to the ineffective portion is recognized immediately in the Consolidated Income Statement within ‘Other gains / (losses)—net’. Amounts accumulated in equity are reclassified to the Consolidated Income Statement when the hedged item affects the Consolidated Income Statement. The gain or loss relating to the effective portion of derivative instruments hedging forecasted cash-flows under customer agreements is recognized in ‘Revenue’. When the forecasted transaction that is hedged results in the recognition of a non-financial When a hedging instrument expires or is sold or terminated, or when a hedge no longer meets the criteria for hedge accounting, any cumulative gain or loss existing in equity at that time remains in equity and is recognized when the forecasted transaction is ultimately recognized in the Consolidated Income Statement. When a forecasted transaction is no longer expected to occur, the cumulative gain or loss that was recognized in equity is immediately reclassified to the Consolidated Income Statement. (iv) Fair value Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Where available, relevant market prices are used to determine fair values. The Group periodically estimates the impact of credit risk on its derivatives instruments aggregated by counterparties and takes it into account when estimating the fair value of its derivatives. Credit Value Adjustments are calculated for asset derivatives based on Constellium counterparties credit risk. Debit Value Adjustments are calculated for credit derivatives based on Constellium own credit risk. The fair value method used is based on historical probability of default, provided by leading rating agencies. (v) Offsetting financial instruments Financial assets and liabilities are offset and the net amount reported in the Consolidated Statement of Financial Position when there is a legally enforceable right to offset the recognized amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously. Leases Constellium as the lessee Leases in which a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating leases. Various buildings, machinery and equipment are leased from third parties under operating lease agreements. Under operating leases, lease payments are recognized as rent expense on a straight-line basis over the term of the lease agreement, and are included in Cost of sales or Selling and administrative expenses, depending on the nature of the leased assets. Leases of property, plant and equipment under which the Group has substantially all the risks and rewards of ownership are classified as finance leases. Various buildings and equipment are leased from third parties under finance lease agreements. Under such finance leases, the asset financed is recognized in Property, plant and equipment and the financing is recognized as a financial liability, in Borrowings. Constellium as the lessor Certain land, buildings, machinery and equipment are leased to third parties under finance lease agreements. At lease inception, the net book value of the related assets is removed from Property, plant and equipment and a Finance lease receivable is recorded at the lower of the fair value and the aggregate future cash payments to be received from the lessee computed at an interest rate implicit in the lease. As the Finance lease receivable from the lessee is due, interest income is recognized. Inventories Inventories are valued at the lower of cost and net realizable value, primarily on a weighted-average cost basis. Weighted-average costs for raw materials, stores, work in progress and finished goods are calculated using the costs experienced in the current period based on normal operating capacity (and include the purchase price of materials, freight, duties and customs, the costs of production, which includes labor costs, materials and other expenses, which are directly attributable to the production process and production overheads). Trade account receivables Recognition and measurement Trade account receivables are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, less impairment. Impairment An impairment of trade receivables is established when there is objective evidence that the Group will not be able to collect all amounts due. Indicators of impairment would include financial difficulties of the debtor, likelihood of the debtor’s insolvency, late payments, default or a significant deterioration in creditworthiness. The amount of the provision is the difference between the assets’ carrying value and the present value of the estimated future cash flows, discounted at the original effective interest rate. The expense (income) related to the increase (decrease) of the impairment is recognized in the Consolidated Income Statement. When a trade receivable is deemed uncollectible, it is written off against the impairment account. Subsequent recoveries of amounts previously written off are credited in Other gains / (losses) in the Consolidated Income Statement. Factoring arrangements In non-recourse Cash and cash equivalents Cash and cash equivalents are comprised of cash in bank accounts and on hand, short-term deposits held on call with banks and other short-term highly liquid investments with original maturities of three months or less that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value, less bank overdrafts that are repayable on demand, provided there is an offset right. Share capital Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds. Trade payables Trade payables are initially recorded at fair value and classified as current liabilities if payment is due in one year or less. Provisions Provisions are recorded for the best estimate of expenditures required to settle liabilities of uncertain timing or amount when management determines that a legal or constructive obligation exists as a result of past events, it is probable that an outflow of resources will be required to settle the obligation, and such amounts can be reasonably estimated. Provisions are measured at the present value of the expected expenditures to be required to settle the obligation. The ultimate cost to settle such liabilities is uncertain, and cost estimates can vary in response to many factors. The settlement of these liabilities could materially differ from recorded amounts. In addition, the expected timing of expenditure can also change. As a result, there could be significant adjustments to provisions, which could result in additional charges or recoveries affecting future financial results. Types of liabilities for which the Group establishes provisions include: Close down and restoration costs Estimated close down and restoration costs are accounted for in the year when the legal or constructive obligation arising from the related disturbance occurs and it is probable that an outflow of resources will be required to settle the obligation. These costs are based on the net present value of estimated future costs. Provisions for close down and restoration costs do not include any additional obligations which are expected to arise from future disturbance. The costs are estimated on the basis of a closure plan including feasibility and engineering studies, are updated annually during the life of the operation to reflect known developments (e.g. revisions to cost estimates and to the estimated lives of operations) and are subject to formal review at regular intervals each year. The initial closure provision together with subsequent movements in the provisions for close down and restoration costs, including those resulting from new disturbance, updated cost estimates, changes to the estimated lives of operations and revisions to discount rates are capitalized within Property, plant and equipment. These costs are then depreciated over the remaining useful lives of the related assets. The amo |
Operating Segment Information
Operating Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
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Operating Segment Information | NOTE 3—OPERATING SEGMENT INFORMATION Management has defined Constellium’s operating segments based upon product lines, markets and industries it serves, and prepares and reports operating segment information to Constellium’s chief operating decision maker (CODM) (see NOTE 2—Summary of Significant Accounting Policies) on that basis. Group’s operating segments are described below: Packaging and Automotive Rolled Products (P&ARP) P&ARP produces thin-gauge rolled products for customers in the beverage and closures, automotive, customized industrial sheet solutions and high-quality bright surface product markets. P&ARP operates four facilities in three countries and has 3,657 employees at December 31, 2017. Aerospace and Transportation (A&T) A&T focuses on thick-gauge rolled high value-added products for customers in the aerospace, defense and mass-transportation markets and engineering industries. A&T operates six facilities in three countries and has 4,008 employees at December 31, 2017. Automotive Structures and Industry (AS&I) AS&I focuses on specialty products and supplies a variety of hard and soft alloy extruded products, including technically advanced products, to the automotive, rail, industrial, energy and building industries, and to manufacturers of mass transport vehicles and shipbuilders. AS&I operates fifteen facilities in nine countries and has 3,988 employees at December 31, 2017. Holdings & Corporate Holdings & Corporate includes the net cost of Constellium’s head office and corporate support functions (including our technology centers). Intersegment elimination Intersegment trading is conducted on an arm’s length basis and reflects market prices. The accounting principles used to prepare the Company’s operating segment information are the same as those used to prepare the Group’s consolidated financial statements. 3.1 Segment Revenue Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 (in millions of Euros) Segment Inter External Segment Inter External Segment Inter External P&ARP 2,812 (7 ) 2,805 2,498 (16 ) 2,482 2,748 (6 ) 2,742 A&T 1,335 (34 ) 1,301 1,302 (23 ) 1,279 1,355 (7 ) 1,348 AS&I 1,123 (5 ) 1,118 1,002 (9 ) 993 1,047 (13 ) 1,034 Holdings & Corporate (A) 13 — 13 (11 ) — (11 ) 29 — 29 Total 5,283 (46 ) 5,237 4,791 (48 ) 4,743 5,179 (26 ) 5,153 (A) For the year ended December 31, 2017, Holdings & Corporate segment includes revenues from supplying metal to third parties. For the year ended December 31, 2016, Holdings & Corporate segment includes a €20 million one-time re-negotiation 3.2 Segment adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (in millions of Euros) Notes Year ended Year ended Year ended P&ARP 202 201 183 A&T 133 103 103 AS&I 119 102 80 Holdings & Corporate (23 ) (29 ) (23 ) Adjusted EBITDA 431 377 343 Metal price lag (A) 22 4 (34 ) Start-up (B) (17 ) (25 ) (21 ) Manufacturing system and process transformation costs (2 ) (5 ) (11 ) Wise integration and acquisition costs — (2 ) (14 ) Wise one-time (C) — (20 ) (38 ) Wise purchase price adjustment (D) 7 — 20 — Share based compensation costs (8 ) (6 ) (7 ) Gains / (Losses) on pension plan amendments (E) 23 20 — (5 ) Depreciation and amortization 15, 16 (171 ) (155 ) (140 ) Impairment 15 — — (457 ) Restructuring costs (4 ) (5 ) (8 ) Unrealized gains/(losses) on derivatives 7 57 71 (20 ) Unrealized exchange (losses) /gains from the remeasurement of monetary assets and liabilities—net 7 (4 ) 3 (3 ) Losses on disposals (3 ) (10 ) (5 ) Other (F) — (1 ) (6 ) Income / (loss) from operations 321 246 (426 ) Finance costs—net 9 (243 ) (167 ) (155 ) Share of loss of joint-ventures (29 ) (14 ) (3 ) Income / (loss) before income tax 49 65 (584 ) Income tax (expense) / benefit 10 (80 ) (69 ) 32 Net loss (31 ) (4 ) (552 ) (A) Metal price lag represents the financial impact of the timing difference between when aluminium prices included within Constellium revenues are established and when aluminium purchase prices included in Cost of sales are established. The Group accounts for inventory using a weighted average price basis and this adjustment aims to remove the effect of volatility in LME prices. The calculation of the Group metal price lag adjustment is based on an internal standardized methodology calculated at each of Constellium’s manufacturing sites and is primarily calculated as the average value of product recorded in inventory, which approximates the spot price in the market, less the average value transferred out of inventory, which is the weighted average of the metal element of cost of sales, based on the quantity sold in the period. (B) For the year ended December 31, 2017, start-up start-up (C) For the year ended December 31, 2016, Wise one-time one-time re-negotiation re-negotiation (D) The contractual price adjustment relating to the acquisition of Wise Metals Intermediate Holdings was finalized in 2016. We received a cash payment of €21 million and recorded a €20 million gain net of costs. (E) For the year ended December 31, 2017, amendments to certain Swiss pension plan, US pension plan and OPEB resulted in a €20 million net gain. (F) For the year ended December 31, 2017, other includes €3 million of legal fees and lump-sum 5-year one-time 3.3 Revenue by product lines (in millions of Euros) Year ended Year ended Year ended Packaging rolled products 2,146 2,003 2,205 Automotive rolled products 483 319 275 Specialty and other thin-rolled products 176 160 262 Aerospace rolled products 760 795 861 Transportation, Industry and other rolled products 541 484 487 Automotive extruded products 614 537 544 Other extruded products 504 456 490 Other 13 (11 ) 29 Total Revenue 5,237 4,743 5,153 3.4 Segment capital expenditures (in millions of Euros) Year ended Year ended Year ended P&ARP (115 ) (166 ) (170 ) A&T (73 ) (96 ) (112 ) AS&I (83 ) (84 ) (60 ) Holdings & Corporate (5 ) (9 ) (8 ) Capital expenditures—Property, plant and equipment (276 ) (355 ) (350 ) 3.5 Segment assets Segment assets are comprised of total assets of Constellium by segment, less deferred income tax assets, cash and cash equivalents and other financial assets. (in millions of Euros) At December 31, 2017 At December 31, 2016 P&ARP 1,629 1,652 A&T 769 768 AS&I 449 390 Holdings & Corporate 252 212 Segment Assets 3,099 3,022 Unallocated: Deferred income tax assets 164 252 Cash and cash equivalents 269 347 Other financial assets 179 166 Total Assets 3,711 3,787 3.6 Information about major customers Revenue arising from the P&ARP segment for the years ended December 31, 2017, 2016 and 2015 is comprised respectively of €1,364 million, €1,220 million and €1,318 million from sales to the Group’s two largest customers. No other single customer contributed 10% or more to the Group’s revenue for 2017, 2016 and 2015. |
Information by Geographic Area
Information by Geographic Area | 12 Months Ended |
Dec. 31, 2017 | |
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Information by Geographic Area | NOTE 4—INFORMATION BY GEOGRAPHIC AREA Revenue is reported based on destination of shipments: (in millions of Euros) Year ended Year ended Year ended France 557 493 564 Germany 1,217 1,042 1,112 United Kingdom 188 203 243 Switzerland 123 86 72 Other Europe 940 798 849 United States 1,691 1,511 1,677 Canada 78 68 91 Asia and Other Pacific 270 292 266 All Other 173 250 279 Total 5,237 4,743 5,153 Property, plant and equipment are reported based on the physical location of the assets: (in millions of Euros) At December 31, 2017 At December 31, 2016 United States 681 729 France 586 543 Germany 156 134 Czech Republic 65 45 Other 29 26 Total 1,517 1,477 |
Expenses by Nature
Expenses by Nature | 12 Months Ended |
Dec. 31, 2017 | |
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Expenses by Nature | NOTE 5—EXPENSES BY NATURE (in millions of Euros) Notes Year ended Year ended Year ended Raw materials and consumables used (3,197 ) (2,792 ) (3,176 ) Employee benefit expenses 6 (924 ) (897 ) (887 ) Energy costs (138 ) (140 ) (168 ) Sub-contractors (99 ) (108 ) (86 ) Freight out costs (124 ) (128 ) (130 ) Professional fees (77 ) (85 ) (75 ) Operating lease expenses (27 ) (27 ) (29 ) Depreciation and amortization 15,16 (171 ) (155 ) (140 ) Impairment 15 — — (457 ) Other operating expenses (229 ) (186 ) (300 ) Other gains / (losses)—net 7 70 21 (131 ) Total Operating expenses (4,916 ) (4,497 ) (5,579 ) |
Employee Benefit Expenses
Employee Benefit Expenses | 12 Months Ended |
Dec. 31, 2017 | |
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Employee Benefit Expenses | NOTE 6—EMPLOYEE BENEFIT EXPENSES (in millions of Euros) Notes Year ended Year ended Year ended Wages and salaries (872 ) (841 ) (836 ) Pension costs—defined benefit plans 23 (28 ) (33 ) (31 ) Other post—employment benefits 23 (16 ) (17 ) (15 ) Share-based compensation 28 (8 ) (6 ) (5 ) Total Employee benefit expenses (924 ) (897 ) (887 ) |
Other Gains _ (Losses) - Net
Other Gains / (Losses) - Net | 12 Months Ended |
Dec. 31, 2017 | |
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Other Gains / (Losses) - Net | NOTE 7—OTHER GAINS / (LOSSES)—NET (in millions of Euros) Notes Year ended Year ended Year ended Realized gains/( losses) on derivatives (A) 22 — (62 ) (93 ) Unrealized gains / (losses) on derivatives at fair value through profit and loss—net (A) 3 57 71 (20 ) Unrealized exchange (losses) /gains from the remeasurement of monetary assets and liabilities—net 3 (4 ) 3 (3 ) Gains / (losses) on pension plan amendments 23 20 — (5 ) Losses on disposal (3 ) (10 ) (5 ) Wise purchase price adjustment (B) 3 — 20 — Wise acquisition costs — — (5 ) Other — (1 ) — Total other gains / (losses)—net 70 21 (131 ) (A) Realized gains/(losses) are related to derivatives entered into with the purpose of mitigating exposure to volatility in foreign currency and commodity price. Unrealized gains and losses are related to derivatives that do not qualify for hedge accounting. (B) The contractual price adjustment relating to the acquisition of Wise Metals Intermediate Holdings was finalized in 2016. We received a cash payment of €21 million and recorded €20 million gain net of costs. The cash received was presented in net cash flows used in investing activities (acquisition of subsidiaries net of cash acquired) in the Consolidated Statement of Cash Flows. |
Currency Gains _ (Losses)
Currency Gains / (Losses) | 12 Months Ended |
Dec. 31, 2017 | |
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Currency Gains / (Losses) | NOTE 8—CURRENCY GAINS / (LOSSES) Currency gains and losses, which are included in Income from operations, are as follows: (in millions of Euros) Notes Year ended Year ended Year ended Included in Revenue 22 2 — — Included in Cost of sales (4 ) 4 13 Included in Other gains / (losses)—net (4 ) (3 ) (50 ) Total (6 ) 1 (37 ) Realized exchange losses on foreign currency derivatives—net 22 (15 ) (46 ) (37 ) Unrealized gains /(losses) on foreign currency derivatives—net 22 17 40 (10 ) Exchanges (losses)/gains from the remeasurement of monetary assets and liabilities—net (8 ) 7 10 Total (6 ) 1 (37 ) See NOTE 21—Financial Instruments and NOTE 22—Financial Risk Management for further information regarding the Company’s foreign currency derivatives and hedging activities. Foreign currency translation reserve (in millions of Euros) Year ended Year ended Foreign currency translation reserve at January 1 12 6 Effect of currency translation differences—net (19 ) 6 Foreign currency translation reserve at December 31 (7 ) 12 |
Finance Costs - Net
Finance Costs - Net | 12 Months Ended |
Dec. 31, 2017 | |
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Finance Costs - Net | NOTE 9—FINANCE COSTS—NET (in millions of Euros) Year ended 2017 Year ended 2016 Year ended 2015 Interest received 7 5 1 Finance income 7 5 1 Interest expense on borrowings paid or payable (A) (147 ) (171 ) (149 ) Expenses on factoring arrangements paid or payable (16 ) (12 ) (11 ) Net loss on settlement of debt (B) (91 ) (4 ) — Realized and unrealized (losses) / gains on debt derivatives at fair value (C) (79 ) 45 50 Realized and unrealized exchange gains / (losses) on financing activities—net (C) 91 (42 ) (48 ) Other finance expense (15 ) 1 (6 ) Capitalized borrowing costs (D) 7 11 8 Finance expense (250 ) (172 ) (156 ) Finance costs—net (243 ) (167 ) (155 ) (A) For the year ended December 31, 2017, the Group incurred (i) €136 million of interest related to Constellium N.V. Senior Notes; (ii) €7 million of interest related to the Muscle Shoals Senior Notes and (iii) €4 million of interest expense and fees related to the Muscle Shoals and Ravenswood Revolving Credit Facilities (ABLs). For the year ended December 31, 2016, the Group incurred (i) €104 million of interest related to Constellium N.V. Senior Notes; (ii) €64 million of interest related to the Muscle Shoals Senior Notes and (iii) €3 million of interest expense and fees related to the Muscle Shoals and Ravenswood Revolving Credit Facilities (ABLs). For the year ended December 31, 2015, the Group incurred (i) €81 million of interest related to Constellium N.V. Senior Notes; (ii) €64 million of interest related to the Muscle Shoals Senior Notes and (iii) €4 million of interest expense and fees related to the Muscle Shoals and Ravenswood Revolving Credit Facilities (ABLs). (B) For the year ended December 31, 2017, net loss on settlement of debt relates to (i) the Muscle Shoals Senior Notes redemption in February 2017 for €13 million and (ii) Constellium N.V. Senior Notes redemption in November 2017 for €78 million. (see NOTE 20 – Borrowings). The total exit fees incurred and paid related to 2017 refinancings amount to €88 million. For the year ended December 31, 2016, €2 million of unamortized arrangement fees were fully recognized as financial expenses as result of the unsecured credit facility termination in March 2016; €2 million loss result from the Muscle Shoals PIK Toggle Notes redemption (see NOTE 20 – Borrowings). (C) The Group hedges the dollar exposure relating to the principal of its Constellium N.V. U.S. Dollar Senior Notes, for the portion that has not been used to finance directly or indirectly U.S. Dollar functional currency entities. Changes in the fair value of these hedging derivatives are recognized within Finance costs – net in the Consolidated Income Statement and largely offset the unrealized results related to Constellium N.V. U.S. Dollar Senior Notes revaluation. (D) Borrowing costs directly attributable to the construction of assets are capitalized. The capitalization rate used for the year ended December 31, 2017 was 6% (7% for the years ended December 31, 2016 and 2015). |
Income Tax
Income Tax | 12 Months Ended |
Dec. 31, 2017 | |
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Income Tax | NOTE 10—INCOME TAX The current and deferred components of income tax are as follows: (in millions of Euros) Year ended Year ended Year ended Current tax expense (26 ) (19 ) (21 ) Deferred tax (expense) / benefit (54 ) (50 ) 53 Total Income tax (expense) / benefit (80 ) (69 ) 32 Using a composite statutory income tax rate applicable by tax jurisdictions, the income tax can be reconciled as follows: (in millions of Euros) Year ended 2017 Year ended 2016 Year ended 2015 Income / (Loss) before income tax 49 65 (584 ) Composite statutory income tax rate applicable by tax jurisdiction 31.9 % 24.9 % 38.2 % Income tax (expense) / benefit calculated at composite statutory tax rate applicable by tax jurisdictions (16 ) (16 ) 223 Tax effect of: Changes in recognized and unrecognized deferred tax assets (A) (61 ) (45 ) (177 ) Change in tax rate (B) (11 ) (6 ) — Other 8 (2 ) (14 ) Income tax (expense) / benefit (80 ) (69 ) 32 Effective income tax rate 163 % 106 % 5 % (A) Change in recognized and unrecognized deferred tax assets mainly relates to unrecognized tax losses carried forward for the years ended December 31, 2017 and 2016 and to impairment of long term assets of one of our main entities for the year ended December 31, 2015 (see NOTE 18—Deferred income taxes). (B) For the year ended December 31, 2017, change in tax rate relates mainly to the U.S. income tax rate decrease from 40% to 27% for €16 million applicable from January 1, 2018 and to the gradual decrease in French tax rate to 25.82% as from 2022. For the year ended December 31, 2016, change in tax rate relates to French income tax decrease from 34,43% to 28,92% starting in 2020, enacted by 2016 Financial Tax bill. The net deferred tax expense recognized following changes in the U.S. federal corporate tax rate represents our best estimate of the impact of the “Tax Cuts and Jobs Act”, which was signed into law on December 22, 2017, based on the information currently available. As clarifications or additional instructions from the US legislator or tax authorities on the detailed application of the Act becomes available, our assessment will be reviewed accordingly. Our composite statutory income tax rate of 31.9% for the year ended December 31, 2017, 24.9% for the year ended December 31, 2016 and 38.2% for the year ended December 31, 2015 resulted from the statutory tax rates (i) in the United States of 40 % in 2017, 2016 and 2015, (ii) in France of 39.2% in 2017, 34.43% in 2016 and 38.0% in 2015 (iii) in Germany of 29%, stable for the last three years (iv) in the Netherlands of 25%, stable for the last three years and (v) in Czech Republic of 19%, stable for the last three years. The variation in our composite tax rate mainly results from the geographical mix of our pre-tax The 7 % increase in our composite tax rate from 2016 to 2017 is mostly related to the increase of pre-tax pre-tax |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2017 | |
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Earnings Per Share | NOTE 11—EARNINGS PER SHARE (in millions of Euros) Year ended Year ended Year ended Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share (31 ) (4 ) (554 ) Number of shares attributable to equity holders of Constellium (number of shares) Year ended Year ended Year ended Weighted average number of ordinary shares used to calculate basic earnings per share 110,164,320 105, 500,327 105,097,442 Effect of other dilutive potential ordinary shares (A) — — — Weighted average number of ordinary shares used to calculate diluted earnings per share 110,164,320 105, 500,327 105,097,442 (A) For the years ended December 31, 2017, 2016 and 2015, there were 3,291,875, 411,902 and 510,721 potential ordinary shares respectively that could have a dilutive impact but were considered antidilutive due to negative earnings. Earnings per share attributable to the equity holders of Constellium (in Euro per share) Year ended Year ended Year ended Basic (0.28 ) (0.04 ) (5.27 ) Diluted (0.28 ) (0.04 ) (5.27 ) |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2017 | |
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Cash and Cash Equivalents | NOTE 12—CASH AND CASH EQUIVALENTS (in millions of Euros) At At Cash in bank and on hand 269 347 Total Cash and cash equivalents 269 347 At December 31, 2017, cash in bank and on hand includes a total of €12 million held by subsidiaries that operate in countries where capital control restrictions prevent the balances from being immediately available for general use by the other entities within the Group (€7 million at December 31, 2016). |
Trade Receivables and Other
Trade Receivables and Other | 12 Months Ended |
Dec. 31, 2017 | |
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Trade Receivables and Other | NOTE 13—TRADE RECEIVABLES AND OTHER Trade receivables and other are comprised of the following: At December 31, 2017 At December 31, 2016 (in millions of Euros) Non-current Current Non-current Current Trade receivables—gross — 309 — 238 Impairment — (3 ) — (3 ) Total Trade receivables—net — 306 — 235 Finance lease receivables 6 6 12 6 Deferred tooling related costs 28 — 11 — Current income tax receivables — 58 — 52 Other taxes — 30 — 39 Restricted cash (A) 1 — 9 — Prepaid expenses 5 8 6 9 Other 8 11 9 14 Total Other receivables 48 113 47 120 Total Trade receivables and Other 48 419 47 355 (A) Restricted cash relates mainly to a pledge given to the State of West Virginia as a guarantee for certain workers’ compensation obligations for which the company is self-insured at December 31, 2016. 13.1 Aging The aging of total trade receivables—net is as follows: (in millions of Euros) At December 31, 2017 At December 31, 2016 Not past due 286 217 1 – 30 days past due 13 14 31 – 60 days past due 2 3 61 – 90 days past due 3 1 Greater than 91 days past due 2 — Total Trade receivables—net 306 235 Impairment allowance The Group periodically reviews its customers’ account aging, credit worthiness, payment histories and balance trends in order to evaluate trade account receivables for impairment. Management also considers whether changes in general economic conditions and in the industries in which the Group operates in particular, are likely to impact the ability of the Group’s customers to remain within agreed payment terms or to pay their account balances in full. Revisions to the impairment allowance arising from changes in estimates are included as either additional allowance or recoveries. An allowance was recognized for €0.7 million during the year ended December 31, 2017 (€0.8 million allowance reversed during the year ended December 31, 2016). None of the other amounts included in Other receivables was deemed to be impaired. The maximum exposure to credit risk at the reporting date is the carrying value of each class of receivable shown above. The Group does not hold any collateral from its customers or debtors as security. 13.2 Currency concentration The composition of the carrying amounts of total Trade receivables – net by currency is shown in Euro equivalents as follows: (in millions of Euros) At December 31, 2017 At December 31, 2016 Euro 124 101 U.S. Dollar 164 115 Swiss franc 4 3 Other currencies 14 16 Total trade receivables—net 306 235 13.3 Factoring arrangements The Group factored specific account receivables in France by entering into factoring agreements with a third party for a maximum capacity of €235 million. The facilities were amended on April 19, 2017 to extend maturity to October 29, 2021. The Group factored specific account receivables in Germany, Switzerland and Czech Republic by entering into factoring agreements with a third party for a maximum capacity of €150 million. This agreement matures October 29, 2021. Constellium Automotive USA entered into a factoring agreement which provides for the sale of specific account receivables up to a maximum capacity of $25 million. The facilities were amended on December 13, 2017 to extend maturity to December 12, 2018. Muscle Shoals entered into a new factoring agreement which provides for the sale of specific account receivables up to a maximum capacity of $325 million and was amended in January 2017 to extend maturity to January 24, 2018. The agreement was further amended on January 2, 2018. (See NOTE 31- Under the Group’s factoring agreements, most of the account receivables are sold without recourse. Where the Group has transferred substantially all the risks and rewards of ownership of the receivables, the receivables are de-recognized Under the agreements, at December 31, 2017, the total carrying amount of the original assets factored is €642 million (December 31, 2016: €681 million) of which: • €473 million (December 31, 2016: €566 million) derecognized from the Consolidated Statement of Financial Position as the Group transferred substantially all of the associated risks and rewards to the factor; • €169 million (December 31, 2016: €115 million) recognized on the Consolidated Statement of Financial Position. At December 31, 2017, there was no debt due to the factor relating to trade account receivables sold (€1 million at December 31, 2016). Covenants The factoring arrangements contain certain affirmative customary and negative covenants, including some relating to the administration and collection of the assigned receivables, the terms of the invoices and the exchange of information, but do not contain maintenance financial covenants. The commitment of the factor to buy receivables under the Muscle Shoals factoring agreement is subject to certain credit ratings being maintained. The Group was in compliance with all applicable covenants at December 31, 2017 and December 31, 2016. 13.4 Finance lease receivables The Company is the lessor for certain finance leases with third parties for certain of its property, plant and equipment located in Sierre, Switzerland. The following table shows the reconciliation of the Group’s gross investments in the leases to the net investment in the leases at December 31, 2017 and 2016. Year ended December 31, 2017 Year ended December 31, 2016 (in millions of Euros) Gross Unearned Net Gross Unearned Net Less than 1 year 6 — 6 7 (1 ) 6 Between 1 and 5 years 6 — 6 12 — 12 More than 5 years — — — — — — Total Finance lease receivables 12 — 12 19 (1 ) 18 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2017 | |
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Inventories | NOTE 14—INVENTORIES (in millions of Euros) At December 31, 2017 At December 31, 2016 Finished goods 164 149 Work in progress 332 299 Raw materials 111 94 Stores and supplies 64 69 Adjustments (A) (28 ) (20 ) Total inventories 643 591 (A) Includes Net realizable value adjustments. Constellium records inventories at the lower of cost and net realizable value. Any change in the net realizable value adjustment on inventories is included in Cost of sales in the Consolidated Income Statement. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
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Property, Plant and Equipment | NOTE 15—PROPERTY, PLANT AND EQUIPMENT (in millions of Euros) Land and Buildings Machinery and Equipment Construction Other Total Net balance at January 1, 2017 19 209 1,020 221 8 1,477 Additions 1 2 50 224 5 282 Disposals — (1 ) (3 ) — — (4 ) Depreciation expense (4 ) (13 ) (135 ) — (7 ) (159 ) Transfer during the period — 18 223 (237 ) 4 8 Effects of changes in foreign exchange rates (2 ) (9 ) (66 ) (10 ) — (87 ) Net balance at December 31, 2017 14 206 1,089 198 10 1,517 Cost 25 321 1,712 204 29 2,291 Less accumulated depreciation and impairment (11 ) (115 ) (623 ) (6 ) (19 ) (774 ) Net balance at December 31, 2017 14 206 1,089 198 10 1,517 (in millions of Euros) Land and Buildings Machinery and Equipment Construction Other Total Net balance at January 1, 2016 21 158 773 296 7 1,255 Additions — 6 56 297 3 362 Disposals — — (6 ) (5 ) — (11 ) Depreciation expense (4 ) (13 ) (120 ) — (7 ) (144 ) Transfer during the period 1 55 309 (370 ) 5 — Effects of changes in foreign exchange rates 1 3 8 3 — 15 Net balance at December 31, 2016 19 209 1,020 221 8 1,477 Cost 27 324 1,581 228 27 2,187 Less accumulated depreciation and impairment (8 ) (115 ) (561 ) (7 ) (19 ) (710 ) Net balance at December 31, 2016 19 209 1,020 221 8 1,477 Building, machinery and equipment includes the following amounts where the Group is a lessee under a finance lease: At December 31, 2017 At December 31, 2016 (in millions of Euros) Gross Accumulated Net Gross Accumulated Net Buildings under finance lease 30 (5 ) 25 31 (3 ) 28 Machinery and equipment under finance lease 62 (27 ) 35 50 (21 ) 29 Total 92 (32 ) 60 81 (24 ) 57 The future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2017 At December 31, 2016 Less than 1 year 15 13 1 to 5 years 37 36 More than 5 years 19 22 Total 71 71 The present value of future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2017 At December 31, 2016 Less than 1 year 14 10 1 to 5 years 30 35 More than 5 years 16 15 Total 60 60 Depreciation expense and impairment losses Total depreciation expense and impairment losses relating to property, plant and equipment and intangible assets are presented in the Consolidated Income Statement as follows: (in millions of Euros) Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 Cost of sales (160 ) (147 ) (132 ) Selling and administrative expenses (8 ) (6 ) (6 ) Research and development expenses (3 ) (2 ) (2 ) Impairment — — (452 ) Total (171 ) (155 ) (592 ) The amount of contractual commitments for the acquisition of property, plant and equipment is disclosed in NOTE 26—Commitments. Impairment tests for property, plant and equipment and intangibles assets No triggering events were identified at December 31, 2017 and 2016 regarding our cash-generating units. Certain triggering events were identified as at December 31, 2015 for certain cash-generating units. In accordance with the accounting policies described in NOTE 2.6 of the Consolidated Financial Statements, these cash-generating units were tested for impairment. For the Muscle Shoals cash-generating unit, a P&ARP cash-generating unit, the following triggering events were identified at December 31, 2015: - Continuing under performance and actual 2015 Muscle Shoals results showing a much lower financial performance than the initial business plan prepared as part of the Wise acquisition, and - Revised budget and strategic plan for Muscle Shoals downgraded, notably after taking into account new sale agreements commercial conditions for the can/packaging business. Its value in use was determined based on projected cash flows expected to be generated by the can/packaging business at Muscle Shoals. These cash flow forecasts were prepared by the Group Management and reviewed by the Board of Directors. The discount rate applied to cash flows projections was 11% and cash flows beyond the projection period were extrapolated using a 0% growth rate. The value in use calculation led to a recoverable value being €400 million lower than the carrying value. Management determined that the fair value less cost of disposal of Muscle Shoals cash-generating unit did not exceed the value in use. Accordingly, an impairment charge of €400 million was recorded as at December 31, 2015, reducing the Muscle Shoals’ cash- generating unit intangible assets and property, plant and equipment. For the Constellium Valais cash-generating units, certain triggering events were identified in 2015 (cash-generating unit Valais—AS&I operating segment: operational reorganization and industrial restructuring and cash-generating unit Valais—A&T operating segment: expected adverse change in key sale agreements). Based on the recoverable value approached from both a value in use and a fair value models, the carrying value of the Property, plant and equipment was fully impaired as at December 31, 2015. The related impairment charge totaled €49 million. |
Intangible Assets (Including Go
Intangible Assets (Including Goodwill) | 12 Months Ended |
Dec. 31, 2017 | |
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Intangible Assets (Including Goodwill) | NOTE 16—INTANGIBLE ASSETS (INCLUDING GOODWILL) (in millions of Euros) Goodwill Technology Computer Customer Work in Other Total intangible (excluding Net balance at January 1, 2017 457 28 21 18 9 3 79 Additions — — — — 6 — 6 Amortization expense — (1 ) (9 ) (1 ) — (1 ) (12 ) Transfer during the period — 1 7 — (6 ) — 2 Effects of changes in foreign exchange rates (54 ) (4 ) (1 ) (2 ) — — (7 ) Net balance at December 31, 2017 403 24 18 15 9 2 68 Cost 403 81 55 38 9 3 186 Less accumulated amortization and impairment — (57 ) (37 ) (23 ) — (1 ) (118 ) Net balance at December 31, 2017 403 24 18 15 9 2 68 (in millions of Euros) Goodwill Technology Computer Customer Work in Other Total intangible (excluding Net balance at January 1, 2016 443 28 23 18 7 2 78 Additions — — 1 — 4 — 5 Amortization expense — (1 ) (9 ) (1 ) — — (11 ) Transfer during the period — — 2 — (2 ) — — Effects of changes in foreign exchange rates 14 1 4 1 — 1 7 Net balance at December 31, 2016 457 28 21 18 9 3 79 Cost 457 91 52 43 9 3 198 Less accumulated amortization and impairment — (63 ) (31 ) (25 ) — — (119 ) Net balance at December 31, 2016 457 28 21 18 9 3 79 Impairment tests for goodwill Goodwill in the amount of €403 million has been allocated to the Group’s operating segment Packaging and Automotive Rolled Products (“P&ARP”) for €396 million, Aerospace and Transportation (“A&T”) for €5 million and Automotive Structures and Industry (“AS&I”) for €2 million. At December 31, 2017, the recoverable amount of the A&T and AS&I operating segments has been determined based on value in use calculations and significantly exceed their carrying value. No reasonable change in the assumptions retained could lead to a potential impairment charge. For the P&ARP operating segment, the recoverable value (determined on the basis of fair value less costs of disposal) was estimated by applying a discounted cash flow model and market participant’s assumptions and has been classified as a level 3 measurement under the fair value hierarchy provided by IFRS 13. The projected future cash flows are based on the 2018-2025 medium and long term business plan approved by the management and reviewed by the Board of Directors. They include significant capital expenditures for the Automotive Body Sheet (up to 2020) and its related returns. Considering the significant level of future capital expenditures needed to address the Automotive Body Sheet market and the related Automotive Body Sheet cash inflows ramping-up 8-year The key assumptions used in the determination of the fair value less costs of disposal for the P&ARP operating segment are the discount rates, the perpetual growth rates used to extrapolate cash-flows beyond the forecast period and the forecasted shipments for Automotive Body Sheet, products and related revenues. They have been determined considering what market participants would assume in estimating fair value: - Discount rates used represent the current market assessment of the risks specific to the P&ARP operating segment taking into consideration the time value of money and the risks associated with the underlying assets. - The growth rates used to extrapolate cash-flows beyond the forecast period were developed internally and are consistent with external sources of information. - Expected shipments and related revenues were determined based on estimates of future supply and demand for Automotive Body Sheet products. These estimates were developed internally based on our industry knowledge and our analysis of available market data regarding expected future demand and industry capacity. Sensitivity analysis: the calculation of the recoverable value of the P&ARP operating segment is most sensitive to the following assumptions: - Discount rate: an increase in the discount rate by 2.25% would result in the recoverable value equaling the carrying value; - Perpetual growth rate: a decrease in the perpetual growth rate by 5% would result in the recoverable value equaling the carrying value; or - Automotive Body Sheet shipments: 65% lower shipments in the Automotive Body Sheet US business would result in the recoverable value equaling the carrying value. |
Investments Accounted for Under
Investments Accounted for Under Equity Method | 12 Months Ended |
Dec. 31, 2017 | |
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Investments Accounted for Under Equity Method | NOTE 17—INVESTMENTS ACCOUNTED FOR UNDER THE EQUITY METHOD The Group investments accounted for under the Equity method are Constellium-UACJ ABS LLC and Rhenaroll S.A. (in millions of Euros) Year ended 2017 Year ended 2016 At January 1, 16 30 Group share in loss (29 ) (14 ) Additions — — Reclassified to non-current 14 — Effects of changes in foreign exchange rates — — At December 31, 1 16 As of December 31, 2017, the loan to Constellium-UACJ ABS LLC is, in substance, part of Constellium’s investment in the joint-venture as it represents a long-term strategic investment that is not expected to be settled in the foreseeable future . Joint venture’s net assets Joint venture’s profit/ (loss) (In millions of Euros) % interest At December 31, 2017 At December 31, 2016 At December 31, 2017 At December 31, 2016 Constellium-UACJ ABS LLC (A) 51.00 % (14 ) 15 (29 ) (14 ) Rhenaroll S.A. (B) 49.85 % 1 1 — — Group share (13 ) 16 (29 ) (14 ) Reclassified to non-current 14 — — — Investment in joint venture 1 16 (29 ) (14 ) Constellium-UACJ ABS LLC and Rhenaroll S.A. are private companies with no quoted market prices available for their shares. (A) Constellium-UACJ ABS LLC, a joint-venture in which Constellium holds a 51% interest, was created in 2014. This joint-venture operates a facility located in Bowling Green, Kentucky and supplies aluminium sheet to the North American automotive industry. The joint venture started its operations during 2016. (B) The Group also holds a 49.85% interest in a joint-venture named Rhenaroll S.A. (located in Biesheim, France), specialized in the chrome-plating, grinding and repairing of rolling mills’ rolls and rollers. Revenue was €3 million for the years ended December 31, 2017 and 2016 respectively. The entity’s net income was immaterial in both 2017 and 2016. Both investments are included in P&ARP segment assets. Constellium-UACJ ABS LLC financial statements The information presented hereafter reflects the amounts included in the financial statements of the relevant entity in accordance with Group accounting principles and not the Company’s share of those amounts. (in millions of Euros) At December 31, 2017 At December 31, 2016 Current assets Cash and cash equivalents 5 6 Trade receivables and other 35 7 Inventories 57 28 Non-current Property, plant and equipment 161 189 Intangible assets 1 1 Total Assets 259 231 Current liabilities Trade payables and other 34 26 Borrowings (A) 206 129 Non-current Borrowings 47 46 Equity (28 ) 30 Total Equity and Liabilities 259 231 (A) In February 2018, the maturity of shareholders loan facilities was extended to March 31, 2023. (in millions of Euros) Year ended December 31, 2017 Year ended December 31, 2016 Revenue 123 15 Cost of sales (151 ) (28 ) Selling and administrative expenses (14 ) (8 ) Loss from operations (42 ) (21 ) Finance costs (15 ) (6 ) Net loss (57 ) (27 ) The transactions during the year and the year-end (in millions of Euros) At December 31, 2017 At December 31, 2016 Trades receivables and other—current 15 10 Other financial assets (A) 83 66 Total Assets 98 76 (A) Other financial assets correspond to the loan to Constellium UACJ ABS LLC as of December 31, 2017 and 2016. As of December 31, 2017, the fair value of the loan is €97 million, which approximates the carrying value. The fair value is presented net of €14 million of Constellium’s share of losses of joint venture. (in millions of Euros) Year ended Year ended Revenue 59 13 Fees and recharges (B) 3 3 Finance income 6 4 Total Income 68 20 (B) Fees and recharges are presented in Cost of sales or Selling and administrative expenses depending on their nature. Guarantees and commitments given to Constellium UACJ ABS LLC by the Group are: (in millions of euros) At December 31, 2017 At December 31, 2016 Financial guarantees 11 — Loan facility commitment — 15 Supplier guarantees 3 19 Total Guarantees and commitments 14 34 Constellium and UACJ have pledged their intention to financially support the Constellium UACJ ABS LLC, such that Constellium UACJ ABS LLC would be in a position to meet its financial obligations on a timely basis through February 14, 2019, and for a reasonable period thereafter. |
Deferred Income Taxes
Deferred Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
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Deferred Income Taxes | NOTE 18—DEFERRED INCOME TAXES (in millions of Euros) At December 31, 2017 At December 31, 2016 Deferred income tax assets 164 252 Deferred income tax liabilities (25 ) (30 ) Net Deferred income tax assets 139 222 The following tables show the changes in net deferred income tax assets / (liabilities) for the years ended December 31, 2017 and 2016. (in millions of Euros) At January 1, Recognized in Effect of change in foreign exchange rates Other At December 31, Profit or loss OCI Long-term assets (90 ) 5 — 9 — (76 ) Inventories 6 (2 ) — — — 4 Pensions 188 (39 ) (5 ) (14 ) — 130 Derivative valuation 13 (17 ) (15 ) (1 ) — (20 ) Tax losses carried forward 79 3 — (4 ) — 78 Other (A) 26 (3 ) — — — 23 Total deferred tax assets/(liabilities) 222 (54 ) (20 ) (9 ) — 139 (A) Mainly non-deductible For the year ended December 31, 2017, net deferred income tax assets declined primarily due to the US income tax rate decrease with €16 million through Profit or loss and for €8 million through Other Comprehensive Income. (in millions of Euros) At January 1, Recognized in Effect of change in Other At December 31, 2016 Profit or loss OCI Long-term assets (27 ) (59 ) — (4 ) — (90 ) Inventories 4 3 — — (1 ) 6 Pensions 193 (11 ) 2 4 — 188 Derivative valuation 27 (21 ) 9 — (2 ) 13 Tax losses carried forward 40 38 — 1 — 79 Other (A) 23 — — 1 2 26 Total deferred tax assets /(liabilities) 260 (50 ) 11 2 (1 ) 222 (A) Mainly non-deductible Based on the expected taxable income of the entities, the Group believes that it is more likely than not that a total of €1,393 million (€1,345 million at December 31, 2016) of unused tax losses and deductible temporary differences, will not be used. Consequently, net deferred tax assets have not been recognized. The related tax impact of €356 million (€428 million at December 31, 2016) is attributable to the following: (in millions of Euros) At December 31, 2017 At December 31, 2016 Expiring in 2018 to 2021 (22 ) (13 ) Expiring in 2022 and after limited (143 ) (132 ) Unlimited (18 ) (19 ) Tax losses (183 ) (164 ) Long-term assets (116 ) (193 ) Pensions (20 ) (25 ) Other (37 ) (46 ) Deductible temporary differences (173 ) (264 ) Total (356 ) (428 ) The €72 million total change of unrecognized deferred tax assets is mainly explained by the impact of (i) the US income tax rate decrease for €93 million, (ii) the foreign exchange effect for €35 million offset by (iii) an increase of the unrecognized deferred tax assets on deductible temporary differences and unused tax losses, generated during the period, for €56 million. Substantially all of the tax losses not expected to be used reside in the Netherlands, the United States and in Switzerland. The holding companies in the Netherlands have been generating tax losses over the past six years, and these holding companies are not expected to generate sufficient qualifying taxable profits in the foreseeable future to utilize these tax losses before they expire in the years from 2020 to 2025. The tax losses not expected to be utilized in the United States relate to one of our main operating entities, such losses having a carryforward period limited to 20 years. Although this entity is expected to be profitable in the medium or long term, considering notably the anticipated development of the Automotive Body Sheet business, it bears significant non-cash The tax losses not expected to be utilized in Switzerland relate to losses generated by one of our Swiss entities most of them expiring in the years from 2019 to 2023. Following an operational reorganization and industrial restructuring in 2015, this Swiss entity is not expected to generate sufficient taxable profits over the next coming years to utilize these losses before they expire. As at December 31, 2017 and 2016, most of the unrecognized deferred tax assets on deductible temporary differences on long-term assets and other differences relate to the U.S. and Swiss entities discussed above. A joint assessment has been performed on the recoverability of the deferred tax assets on deductible temporary differences and tax losses for these two entities. In line with the assessments, the related deferred tax assets on long term assets and on other differences have not been recognized. |
Trade Payables and Other
Trade Payables and Other | 12 Months Ended |
Dec. 31, 2017 | |
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Trade Payables and Other | NOTE 19—TRADE PAYABLES AND OTHER At December 31, 2017 At December 31, 2016 (in millions of Euros) Non-current Current Non-current Current Trade payables — 717 — 627 Fixed assets payables — 27 — 33 Employees’ entitlements — 159 — 141 Deferred revenue 34 10 40 14 Taxes payable other than income tax — 12 — 17 Other payables 20 5 19 7 Total Other 54 213 59 212 Total Trade payables and other 54 930 59 839 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2017 | |
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Borrowings | NOTE 20—BORROWINGS 20.1 Analysis by nature (in millions of Euros) December 31, 2017 December 31, Nominal in Currency Nominal Effective Nominal in Euros (Arrangement Accrued Carrying Carrying Secured ABL (A) Ravenswood (due 2018) — Floating — — — — — 46 Muscle Shoals (due 2020) — Floating — — — — — — Pan US ABL (due 2022) $ 78 Floating 3.79 % 65 — — 65 — Secured Inventory Based Facility ( due 2019 (B) — Floating — — — — — — Senior Secured Notes Constellium N.V. (D) $ 425 7.88 % 8.94 % — — — — 401 Muscle Shoals (C) $ 650 8.75 % 7.45 % — — — — 635 Senior Unsecured Notes Constellium N.V. (Issued May 2014, due 2024) $ 400 5.75 % 6.26 % 334 (4 ) 2 332 377 Constellium N.V. (Issued May 2014, due 2021) € 300 4.63 % 5.16 % 300 (4 ) 2 298 298 Constellium N.V. (D) $ 400 8.00 % 8.61 % — — — — 387 Constellium N.V. (D) € 240 7.00 % 7.54 % — — — — 244 Constellium N.V. (C) $ 650 6.63 % 7.13 % 542 (13 ) 12 541 — Constellium N.V. (D) $ 500 5.88 % 6.26 % 417 (8 ) 4 413 — Constellium N.V. (D) € 400 4.25 % 4.57 % 400 (7 ) 2 395 — Other loans (including Finance leases) 82 — 1 83 80 Total Borrowings 2,140 (36 ) 23 2,127 2,468 Of which non-current 2,021 2,361 Of which current 106 107 Constellium N.V. Senior Notes are guaranteed by certain subsidiaries. (A) On June 21, 2017, Ravenswood and Muscle Shoals terminated their existing respective secured asset-based variable rate revolving credit facilities. The two entities entered into a pan US ABL consisting of a $300 million initial credit facility due 2022 and a $200 million committed accordion, at the company’s option, under certain conditions. (B) On April 21, 2017, two French entities entered into a new secured Revolving Credit Facility on inventory for €100 million due 2019. (C) On February 16, 2017, Constellium N.V. issued a $650 million principal amount of 6.625% Senior Notes due 2025. Deferred arrangement fees amounted to €14 million on the issuance date. The net proceeds of Constellium N.V. Senior Notes were used to repurchase the Muscle Shoals Senior Secured Notes due 2018. (D) On November 9, 2017, Constellium N.V. issued a $500 million principal amount of 5.875% Senior Notes due 2026 and €400 million principal amount of 4.25% Senior Notes due 2026. Deferred arrangement fees amounted to €15 million on the issuance date. The net proceeds of the Constellium N.V. Senior Notes were used to repurchase the Constellium N.V. Senior Secured Notes issued in March 2016, due 2021 and Constellium N.V. Senior Unsecured Notes issued in December 2014, due 2023. 20.2 Movements in borrowings (in millions of Euros) Year ended 2017 Year ended 2016 At January 1, 2,468 2,233 Cash flows Proceeds from issuance of Senior (A) (B) 1,440 375 Repayments of Senior Notes or PIK Toggle notes (B) (C) (D) (1,559 ) (148 ) Proceeds / (Repayments) from U.S. Revolving Credit Facilities and other loans 29 (69 ) Arrangement fees payment (29 ) (12 ) Finance lease repayment and others (13 ) (10 ) Non-cash Movement in interests accrued or capitalized (13 ) 15 New finance leases 17 16 Deferred arrangement fees and step-up 7 (10 ) Effects of changes in foreign exchange rates (220 ) 78 At December 31, 2,127 2,468 (A) The proceeds from the Senior Notes issued on November 9, 2017 represented €830 million, converted at the issuance date exchange rate of EUR/USD=1.1630. (B) The proceeds from the Senior Notes issued on February 16, 2017 represented €610 million, converted at the issuance date exchange rate of EUR/USD=1.0652. The repurchase of Muscle Shoals Senior Notes was completed on the same day for the same amount. (C) The redemption of Secured and Unsecured Notes on November 9, 2017 represented €949 million, converted at the redemption date exchange rate of EUR/USD=1.1630. (D) The redemption of PIK Toggle Notes on December 5, 2016 represented €148 million, converted at the redemption date exchange rate of EUR/USD=1.0702. 20.3 Currency concentration The composition of the carrying amounts of total borrowings in Euro equivalents is denominated in the currencies shown below: (in millions of Euros) At December 31, 2017 At December 31, 2016 U.S. Dollar 1,387 1,887 Euro 720 575 Other currencies 20 6 Total borrowings 2,127 2,468 Covenants The Group was in compliance with all applicable debt covenants at and for the years ended December 31, 2017 and 2016. Constellium N.V. Senior Notes The indentures for our outstanding Senior Notes contain customary terms and conditions, including amongst other things, limitation on incurring or guaranteeing additional indebtedness, on paying dividends, on making other restricted payments, on creating restriction on dividend and other payments to us from certain of our subsidiaries, on incurring certain liens, on selling assets and subsidiary stock, and on merging. Pan US ABL Facility This facility contains a fixed charge coverage ratio covenant and EBITDA contribution ratio. Evaluation of compliance is only required if the excess availability falls below 10% of the aggregate revolving loan commitment. It also contains customary affirmative and negative covenants, but no maintenance covenants. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
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Financial Instruments | NOTE 21—FINANCIAL INSTRUMENTS 21.1 Financial assets and liabilities by categories At December 31, 2017 At December 31, 2016 (in millions of Euros) Notes Loans and At Fair At Fair Total Loans and At Fair At Fair Total Cash and cash equivalents 12 269 — — 269 347 — — 347 Trade receivables and Finance Lease receivables 13 318 — — 318 253 — — 253 Other financial assets 83 77 19 179 66 100 — 166 Total financial assets 670 77 19 766 666 100 — 766 At December 31, 2017 At December 31, 2016 (in millions of Euros) Notes At At Fair At Fair Total At At Fair At Fair Total Trade payables and fixed assets payables 19 744 — — 744 660 — — 660 Borrowings 20 2,127 — — 2,127 2,468 — — 2,468 Other financial liabilities — 66 — 66 — 37 27 64 Total financial liabilities 2,871 66 — 2,937 3,128 37 27 3,192 The table below details other financial assets and other financial liabilities positions: At December 31, 2017 At December 31, 2016 (in millions of Euros) Non-current Current Total Non-current Current Total Derivatives 29 67 96 49 51 100 Aluminium and premium future contract 6 39 45 — 6 6 Energy future contract — — — — 4 4 Other future contract — 1 1 — — — Currency commercial contracts 21 20 41 2 11 13 Currency net debt derivatives 2 7 9 47 30 77 Loans (A) 81 2 83 — 66 66 Other financial assets 110 69 179 49 117 166 Derivatives 43 23 66 30 34 64 Aluminium and premium future contract — 6 6 4 5 9 Energy future contract — — — — — — Other future contract — 1 1 — 2 2 Currency commercial contracts 6 12 18 26 27 53 Currency net debt derivatives 37 4 41 — — — Other financial liabilities 43 23 66 30 34 64 (A) Corresponds to a loan facility to Constellium UACJ ABS LLC (See NOTE 17 – Investments accounted for under the equity method) 21.2 Fair values All derivatives are presented at fair value in the Consolidated Statement of Financial Position. The carrying value of the Group’s borrowings at maturity is the redemption value. The fair value of Constellium N.V. Senior Notes issued in May 2014, February 2017 and November 2017 account for 102%, 106% and 101% respectively of the nominal value and amount to €645 million, €572 million and €828 million respectively at December 31, 2017. The fair value was classified as a level 1 measurement under the fair value hierarchy provided by IFRS 13. The fair values of other financial assets and liabilities approximate their carrying values, as a result of their liquidity or short maturity except for the loan facility to Constellium UACJ ABS LLC (See NOTE 17—Investments accounted for under the equity method). 21.3 Valuation hierarchy The following table provides an analysis of derivatives measured at fair value, grouped into levels based on the degree to which the fair value is observable: • Level 1 valuation is based on quoted price (unadjusted) in active markets for identical financial instruments, it includes aluminium futures that are traded on the LME; • Level 2 valuation is based on inputs other than quoted prices included within Level 1 that are observable for the assets or liabilities, either directly (i.e. prices) or indirectly (i.e. derived from prices), it includes foreign exchange derivatives; • Level 3 valuation is based on inputs for the asset or liability that are not based on observable market data (unobservable inputs). At December 31, 2017 At December 31, 2016 (in millions of Euros) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Other financial assets—derivatives 46 50 — 96 6 94 — 100 Other financial liabilities—derivatives 6 60 — 66 7 57 — 64 There were no transfers into or out of Level 3 during the years ended December 31, 2017 and December 31, 2016. |
Financial Risk Management
Financial Risk Management | 12 Months Ended |
Dec. 31, 2017 | |
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Financial Risk Management | NOTE 22—FINANCIAL RISK MANAGEMENT The Group’s financial risk management strategy focuses on minimizing the cash flow impacts of volatility in foreign currency exchange rates, metal prices and interest rates, while maintaining the financial flexibility the Group requires in order to successfully execute the Group’s business strategies. Due to Constellium’s capital structure and the nature of its operations, the Group is exposed to the following financial risks: (i) market risk (including foreign exchange risk, commodity price risk and interest rate risk); (ii) credit risk and (iii) liquidity and capital management risk. 22.1 Market risk (i) Foreign exchange risk Net assets, earnings and cash flows are influenced by multiple currencies due to the geographic diversity of sales and the countries in which the Group operates. Constellium is exposed to foreign exchange risk in the following areas: • Transaction exposures, which include ◇ Commercial transactions related to forecasted sales and purchases and on-balance ◇ Financing transactions, related to external and internal net debt • Translation exposures, which relate to net investments in foreign entities which are converted in Euros in the consolidated financial statements. Commercial transaction exposures The Group policy is to hedge committed and highly probable forecasted foreign currency operational transactions. The Group uses foreign exchange forwards and foreign exchange swaps for this purpose. The following tables outline the nominal value (converted in millions of Euros at the closing rate) of derivatives for Constellium’s most significant foreign exchange exposures as at December 31, 2017. Forward derivatives sales Maturity Period Less than 1 year Over 1 year USD/EUR 2018-2023 387 376 EUR/CHF 2018-2022 49 19 Other currencies 2018-2020 16 2 Forward derivatives purchases Maturity Period Less than 1 year Over 1 year USD/EUR 2018-2022 395 90 EUR/CHF 2018-2022 103 35 EUR/CZK 2018-2019 63 62 Other currencies 2018 1 — Forward derivatives sales mean that the Group sells currency 1 versus currency 2. Forward derivatives purchases mean that the Group buys currency 1 versus currency 2 In 2016, the Group agreed with a major customer for the sale of fabricated metal products in U.S. Dollars to be supplied from a Euro functional currency entity. In line with its hedging policy, the Group entered into significant foreign exchange derivatives which match related highly probable future conversion sales by selling U.S. Dollars against Euros. The Group designated these derivatives for hedge accounting, with total nominal amount of $484 million, as of December 31, 2017, with maturity 2018-2022. For hedges that do not qualify for hedge accounting, any mark-to-market The table below details the effect of foreign currency derivatives in the Consolidated Income Statement and the Statement of Comprehensive Income/(Loss): (In millions of Euros) Notes Year ended Year ended Year ended Derivatives that do not qualify for hedge accounting Included in Other gains / (losses) – net Realized gains / (losses) on foreign currency derivatives—net 8 (19 ) (46 ) (37 ) Unrealized gains / (losses) on foreign currency derivatives—net (A) 8 16 40 (10 ) Derivatives that qualify for hedge accounting Included in Revenue Realized gain on foreign currency derivatives—net 8 1 — — Unrealized gain on foreign currency derivatives—net 8 1 — — Included in Other gains / (losses)—net Realized gains on foreign currency derivatives—net 8 3 — — Unrealized gains / (losses) on foreign currency derivatives—net 8 — — — Realized gain/(loss) in ineffective portion of derivatives — — — Included in Other Comprehensive Income / (Loss) Unrealized gains / (losses) on foreign currency derivatives—net 48 (27 ) — Gain/loss reclassified from cash flow hedge reserve to profit and loss (2 ) — — (A) Gains or losses on the hedging instruments are expected to offset losses or gains on the underlying hedged forecasted sales that will be reflected in future periods when these sales are recognized. Financing transaction exposures When the Group enters into intercompany loans and deposits, the financing is generally provided in the functional currency of the subsidiary. The foreign currency exposure of the Group’s external funding and liquid assets is systematically hedged either naturally through external foreign currency loans and deposits or through cross currency basis swaps and simple foreign currency swaps. At December 31, 2017 the net position hedged related to loans and deposits was a forward purchase of $436 million versus the Euro. This comprised of a forward purchase of $870 million versus the Euro, a forward sale of $140 million versus the Euro, both using cross currency basis swaps, and a forward sale of $294 million versus the Euro using simple foreign exchange forward contracts. The table below details the effect of foreign currency derivatives in the Consolidated Income Statement (In millions of Euros) Year ended Year ended Derivatives Included in Finance Costs—net Realized gain / (loss) on foreign currency derivatives—net 31 15 Unrealized gain / (loss) on foreign currency derivatives—net (110 ) 30 Total (79 ) 45 In accordance with the Group policy, the net foreign exchange result related to financing activities is expected to be balanced at any time. Net debt derivatives settled during the period are presented in ‘Other financing activities’ in the Consolidated Statement of Cash Flows. Foreign exchange sensitivity on commercial and financing transaction exposures The largest exposures of the Group are related to the Euro/Dollar exchange rate. The table below summarizes the impact on profit and Equity (before tax effect) of a 10 % strengthening of the U.S. Dollar versus the Euro for non U.S. Dollar functional currency entities. (in millions of Euros) Effect on profit before tax Effect on pretax equity Trade receivables 5 — Trade payables (1 ) — Derivatives on commercial transaction (A) 14 (43 ) Commercial transaction exposure 18 (43 ) Cash in Bank and intercompany loans 103 — Borrowings (144 ) — Derivatives on financing transaction 41 — Financing transaction exposure — — Total 18 (43 ) (A) Gains or losses on the hedging instruments are expected to offset losses or gains on the underlying hedged forecasted sales that will be reflected in future periods when these sales are recognized. The impact on pretax equity (€43 million) relates to derivatives hedging future sales spread from 2018 to 2022 which are designated as cash flow hedges. The amounts shown in the table above may not be indicative of future results since the balances of financial assets and liabilities may change. Translation exposures Foreign exchange impacts related to the translation to Euro of net investments in foreign subsidiaries, and related revenues and expenses are not hedged as the Group operates in these various countries on permanent basis. Foreign exchange sensitivity The exposure relates to foreign currency translation of net investments in foreign subsidiaries and arises mainly from operations conducted by U.S. Dollar functional currency subsidiaries. The table below summarizes the impact on profit and Equity (before tax effect) of a 10 % strengthening of the US Dollar versus the Euro (on average rate for profit before tax and closing rate for pretax equity) for US Dollar functional currency entities. (in millions of Euros) Effect on profit before tax Effect on pretax equity 10% strengthening US Dollar/Euro (8 ) 11 The amounts shown in the table above may not be indicative of future results since the balances of financial assets and liabilities may change. Margin Calls Our financial counterparties may require margin calls should our mark-to-market pre-agreed At December 31, 2017 and 2016, the margin requirement related to foreign exchange hedges was nil and the Group was not exposed to material margin call risk. (ii) Commodity price risk The Group is subject to the effects of market fluctuations in the price of aluminium, which is the Group’s primary metal input and a significant component of its output. The Group is also exposed to variation in the premium and in the price of zinc, natural gas, silver and copper but in a less significant way. The Group policy is to minimize exposure to aluminium price volatility by (i) passing through the aluminium price risk to customers and (ii) using derivatives where necessary. All sales and purchases are converted to be on the same floating basis and then ensure that the same quantities are bought and sold at the same (market) price. The Group purchases fixed price aluminium forwards to offset the exposure of LME volatility on its fixed price sales agreements for the supply of metal. The Group also purchases fixed price copper, aluminium premium, silver and zinc forwards to offset the commodity exposure where sales contracts have embedded fixed price agreements for the relevant commodity. In addition, the Group also purchases natural gas fixed price forwards to lock in energy costs where a fixed price purchase contract is not possible. At December 31, 2017, the nominal amount of commodity derivatives are as follows: (In millions of Euros) Maturity period Less than 1 year Over 1 year Aluminium 2018-2022 335 43 Premiums 2018-2021 5 7 Copper 2018 3 — Silver 2018 7 — Natural gas 2018 4 — Zinc 2018 10 — The value of the contracts will fluctuate due to changes in market prices but is intended to help protect the Group’s margin on future conversion and fabrication activities. At December 31, 2017, these contracts were directly entered into with external counterparties. The Group does not apply hedge accounting on commodity derivatives and therefore any mark-to-market (In millions of Euros) Year ended Year ended Derivatives Included in Other gains / (losses)—net Realized gains / (losses) on commodity derivatives—net 16 (16 ) Unrealized gains / (losses) on commodity derivatives—net 41 31 Commodity price sensitivity: risks associated with derivatives The net impact on earnings and equity of a 10% increase in the market price of aluminium, based on the aluminium derivatives held by the Group at December 31, 2017 (before tax effect), with all other variables held constant was estimated to be a €35 million gain. The balances of such financial instruments may change in future periods however, and therefore the amounts shown may not be indicative of future results. Margin Calls As the LME price for aluminium falls, the derivative contracts entered into with financial institution counterparties have a negative mark-to-market. mark-to-market pre-agreed (iii) Interest rate risk Interest rate risk refers to the risk that the value of financial instruments held by the Group and that are subject to variable rates will fluctuate, or the cash flows associated with such instruments will be impacted due to changes in market interest rates. The Group’s interest rate risk arises principally from borrowings. Borrowings issued at variable rates expose the Group to cash flow interest rate risk which is partially offset by cash and cash equivalents deposits (including short-term investments) earning interest at variable interest rates. Borrowings issued at fixed rates expose the Group to fair value interest rate risk. (See NOTE 21- Interest rate sensitivity: risks associated with variable-rate financial instruments The impact on Income/Loss before income tax for the period of a 50 basis point increase or decrease in the LIBOR or EURIBOR interest rates, based on the variable rate financial instruments held by the Group at December 31, 2017, with all other variables held constant, was estimated to be less than €1 million for the years ended December 31, 2017 and 2016. However, the balances of such financial instruments may not remain constant in future periods, and therefore the amounts shown may not be indicative of future results. 22.2 Credit risk Credit risk is the risk that a counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Group is exposed to credit risk with financial institutions and other parties as a result of cash-in-bank, mark-to-market Credit risk related to transactions with financial institutions Credit risk with financial institutions is managed by the Group’s Treasury department in accordance with a Board approved policy. Management is not aware of any significant risks associated with financial institutions as a result of cash and cash equivalents deposits (including short-term investments) and financial derivative transactions. The number of financial counterparties is tabulated below showing our exposure to the counterparty by rating type (Parent company ratings from Moody’s Investor Services): At December 31, 2017 At December 31, 2016 Number of financial (A) Exposure (in millions of Euros) Number of financial (A) Exposure (in millions of Euros) Rated Aa or better 3 52 3 13 Rated A 12 224 9 369 Rated Baa 3 19 3 16 Total 18 295 15 398 (A) Financial Counterparties for which the Group’s exposure is below €250 thousand have been excluded from the analysis. Credit risks related to customer trade receivables The Group has a diverse customer base geographically and by industry. The responsibility for customer credit risk management rests with management. Payment terms vary and are set in accordance with practices in the different geographies and end-markets non-recourse See NOTE 13—Trade Receivables and other for the aging of trade receivables. 22.3 Liquidity and capital risk management Group’s capital structure includes shareholder’s equity, borrowings and various third-party financing arrangements (such as credit facilities and factoring arrangements). Constellium’s total capital is defined as total equity plus net debt. Net debt includes borrowings due to third parties less cash and cash equivalents. Constellium’s overriding objectives when managing capital are to safeguard the business as a going concern, to maximize returns for its owners and to maintain an optimal capital structure in order to minimize the weighted cost of capital. All activities around cash funding, borrowings and financial instruments are centralized within Constellium’s Treasury department. Direct external funding or transactions with banks at the operating entity level are generally not permitted, and exceptions must be approved by Constellium’s Treasury department. The liquidity requirements of the overall Company are funded by drawing on available credit facilities, while the internal management of liquidity is optimized by means of cash pooling agreements and/or intercompany loans and deposits between the Company’s operating entities and central Treasury. At December 31, 2017, the borrowing base for the pan US ABL facility amounts to $249 million and €71 million for the French entities inventory credit facility. After deduction of amount drawn and letters of credit, the Group had €207 million outstanding availability under these secured revolving credit facilities at December 31, 2017. At December 31, 2017, liquidity was €531 million, comprised of €269 million of cash and cash equivalents and €262 million of available undrawn facilities (including the €207 million described above). The tables below show undiscounted contractual values by relevant maturity groupings based on the remaining period from December 31, 2017 and December 31, 2016 to the contractual maturity date. At December 31, 2017 At December 31, 2016 (in millions of Euros) Less than Between 1 and 5 years Over 5 Less than Between 1 and 5 years Over 5 years Financial assets: Net debt derivatives 6 3 — 32 82 — Net cash flows from derivative assets related to currencies and commodities 59 15 — 22 3 — Total 65 18 — 54 85 — At December 31, 2017 At December 31, 2016 (in millions of Euros) Notes Less than 1 year Between 1 and 5 years Over 5 Less than 1 year Between 1 and 5 years Over 5 years Financial liabilities: Borrowings (A) 67 318 1,692 54 1,329 999 Interest 103 421 264 170 490 125 Net debt derivatives 3 10 — — — — Net cash flows from derivatives liabilities related to currencies and commodities 17 11 — 35 63 3 Trade payables and other (excluding deferred revenue) 19 920 20 — 825 19 — Total 1,110 780 1,956 1,084 1,901 1,127 (A) Borrowings include the pan US ABL facility which is considered short-term in nature and are included in the category “Less than 1 year” and undiscounted forecasted interest and exclude finance leases. |
Pensions and Other Post-employm
Pensions and Other Post-employment Benefit Obligations | 12 Months Ended |
Dec. 31, 2017 | |
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Pensions and Other Post-employment Benefit Obligations | NOTE 23—PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS The Group operates a number of pensions, other post-employment benefits and other long-term employee benefit plans. Some of these plans are defined contribution plans and some are defined benefit plans, with assets held in separate trustee-administered funds. Benefits paid through pension trusts are sufficiently funded to ensure the payment of benefits to retirees when they become due. Actuarial valuations are reflected in the Consolidated Financial Statements as described in NOTE 2.6 – Principles governing the preparation of the Consolidated Financial Statements. 23.1 Description of the plans Pension plans Constellium’s pension obligations are in the U.S., Switzerland, Germany and France. Pension benefits are generally based on the employee’s service and highest average eligible compensation before retirement and are periodically adjusted for cost of living increases, either by company practice, collective agreement or statutory requirement. U.S., Swiss and France benefit plans are funded through long-term employee benefit funds. Other post-employment benefits (OPEB) The Group provides health care and life insurance benefits to retired employees and in some cases to their beneficiaries and covered dependents, mainly in the U.S. Eligibility for coverage depends on certain age and service criteria. These benefit plans are unfunded. Other long-term employee benefits Other long term employee benefits mainly include jubilees in France, Germany and Switzerland and other long-term disability benefits in the U.S. These benefit plans are unfunded. 23.2 Main events In January 2017, our Swiss pension plan was amended and the conversion rates used to convert participants’ account balances into a pension annuity at retirement were reduced. This plan amendment resulted in a €12 million decrease in the defined benefit obligation, which was recognized as negative past service cost. Additionally, the Group implemented certain plan amendments that had the effect of freezing pension plan benefits or increasing benefit for employees elected to voluntary early retirement incentive program as well as removing certain retiree medical and life insurance benefits for active salaried employees of Constellium Rolled Products Ravenswood. These plan amendments resulted in a €8 million decrease in the defined benefit obligation, which was recognized as negative past service cost. 23.3 Description of risks Our estimates of liabilities and expenses for pensions and other post-employment benefits incorporate a number of assumptions, including discount rate, longevity estimate and inflation rate. The defined benefit obligations expose the Group to a number of risks, including longevity, inflation, interest rate, medical cost inflation, investment performance, and change in law governing the employee benefit obligations. These risks are mitigated when possible by applying an investment strategy for the funded schemes which aims to minimize the long-term costs. This is achieved by investing in a diversified selection of asset classes, which aims to reduce the volatility of returns and also achieves a level of matching with the underlying liabilities. Investment performance risk Our pension plan assets consist primarily of funds invested in listed stocks and bonds. The present value of funded defined benefit obligations is calculated using a discount rate determined by reference to high quality corporate bond yields. If the return on plan asset is below this rate, it will increase the plan deficit. Interest rate risk A decrease in the discount rate will increase the defined benefit obligation. At December 31, 2017, impacts of the change on the defined benefit obligation of a 0.50% increase / decrease in the discount rates are calculated by using a proxy based on the duration of each scheme: 0.50% increase in 0.50% decrease in (in millions of Euros) France (9 ) 10 Germany (9 ) 10 Switzerland (20 ) 23 United States (30 ) 33 Total sensitivity on Defined Benefit Obligations (68 ) 76 Longevity risk The present value of the defined benefit obligation is calculated by reference to the best estimate of the mortality of plan participants. An increase in the life expectancy of the plan participants will increase the plan’s liability. 23.4 Actuarial assumptions Our estimates of liabilities and expenses for pensions and other post-employment benefits incorporate a number of assumptions, including discount rate, longevity estimate and inflation rate. The principal actuarial assumptions used at December 31, 2017 and 2016 were as follows: At December 31, 2017 At December 31, 2016 Rate of increase in Rate of increase Discount rate Rate of increase Rate of increase Discount rate Switzerland 1.50% — 0.65% 1.65% — 0.60% U.S. — — — 3.80% — — Hourly pension 2.20% — 3.70%-3.75% — — 4.30%-4.35% Salaried pension 3.80% — 3.80% — — 4.45% OPEB (A) 3.80% — 3.70%-3.85% — — 4.20%-4.60% Other benefits 3.80% — 3.60%-3.70% — — 4.05%-4.20% France 1.50%-1.75% 2.00% — 1.50%-1.75% 2.00% — Retirements — — 1.50% — — 1.60% Other benefits — — 1.20% — — 1.30% Germany 2.75% 1.70% 1.60% 2.75% 1.70% 1.65% (A) The other main financial assumptions used for the OPEB (healthcare plans, which are predominantly in the U.S.) were: - Medical trend rate: pre 65: 7.00% starting in 2018 decreasing gradually to 4.50% until 2026 and stable onwards and post 65: 6.00% starting in 2018 decreasing gradually to 4.50% until 2026 and stable onwards, and - Claims costs are based on individual company experience. For both pension and healthcare plans, the post-employment mortality assumptions allow for future improvements in life expectancy. 23.5 Amounts recognized in the Consolidated Statement of Financial Position At December 31, 2017 At December 31, 2016 (in millions of Euros) Pension Other Total Pension Other Total Present value of funded obligation 691 — 691 721 — 721 Fair value of plan assets (387 ) — (387 ) (391 ) — (391 ) Deficit of funded plans 304 — 304 330 — 330 Present value of unfunded obligation 110 250 360 132 273 405 Net liability arising from defined benefit obligation 414 250 664 462 273 735 23.6 Movement in net defined benefit obligations At December 31, 2017 Defined benefit obligations Plan Net defined (In millions of Euros) Pension Other Total At January 1, 2017 853 273 1,126 (391 ) 735 Included the Consolidated Income Statement Current service cost 18 6 24 — 24 Interest cost / (income) 18 9 27 (9 ) 18 Past service cost (16 ) (4 ) (20 ) — (20 ) Immediate recognition of gains arising over the period — — — — — Administration expenses — — — 2 2 Included in the Statement of Comprehensive Income / (Loss) Remeasurements due to: —actual return less interest on plan assets — — — (36 ) (36 ) —changes in financial assumptions 23 14 37 — 37 —changes in demographic assumptions — (1 ) (1 ) — (1 ) —experience (gains)/losses — — — — — Effects of changes in foreign exchange rates (61 ) (29 ) (90 ) 42 (48 ) Included in the Consolidated Statement of Cash Flows Benefits paid (38 ) (18 ) (56 ) 33 (23 ) Contributions by the Group — — — (24 ) (24 ) Contributions by the plan participants 4 — 4 (4 ) — At December 31, 2017 801 250 1,051 (387 ) 664 At December 31, 2016 Defined benefit obligations Plan Net defined (In millions of Euros) Pension Other Total At January 1, 2016 802 261 1,063 (362 ) 701 Included in the Consolidated Income Statement Current service cost 20 6 26 — 26 Interest cost / (income) 21 10 31 (10 ) 21 Past service cost — 1 1 — 1 Immediate recognition of losses arising over the period — 1 1 — 1 Administration expenses — — — 2 2 Included in the Statement of Comprehensive Income / (Loss) Remeasurements due to: —actual return less interest on plan assets — — — (14 ) (14 ) —changes in financial assumptions 28 6 34 — 34 —changes in demographic assumptions 2 (3 ) (1 ) — (1 ) —experience (gains)/losses 1 (4 ) (3 ) — (3 ) Effects of changes in foreign exchange rates 12 8 20 (8 ) 12 Included in the Consolidated Statement of Cash Flows Benefits paid (37 ) (17 ) (54 ) 32 (22 ) Contributions by the Group — — — (26 ) (26 ) Contributions by the plan participants 4 1 5 (5 ) — Other Transfer — 3 3 — 3 At December 31, 2016 853 273 1,126 (391 ) 735 23.7 Net defined benefit obligations by country At December 31, 2017 At December 31, 2016 (in millions of Euros) Defined Plan assets Net defined Defined Plan assets Net defined France 148 (3 ) 145 144 — 144 Germany 142 (1 ) 141 147 (1 ) 146 Switzerland 251 (177 ) 74 284 (181 ) 103 United States 509 (206 ) 303 550 (209 ) 341 Other countries 1 — 1 1 — 1 Total 1,051 (387 ) 664 1,126 (391 ) 735 23.8 Plan asset categories At December 31, 2017 At December 31, 2016 (in millions of Euros) Quoted in Unquoted in Total Quoted in Unquoted in Total Cash and cash equivalents 3 — 3 4 — 4 Equities 160 — 160 158 — 158 Bonds 81 93 174 82 96 178 Property 8 29 37 10 31 41 Other 5 8 13 5 5 10 Total fair value of plan assets 257 130 387 259 132 391 23.9 Cash flows Expected contributions to pension and other benefits amount to €25 million and €18 million respectively for the year ended December 31, 2018. Benefits payments expected to be paid either by pension funds or directly by the Company to beneficiaries over the next years are as follows: (in millions of Euros) Estimated benefits payments Year ended December 31, 2018 52 2019 52 2020 52 2021 55 2022 56 2023 to 2027 286 At December 31, 2017, the weighted-average maturity of the defined benefit obligations was 14.0 years (2016: 13.2 years). 23.10 OPEB amendments During the third quarter of 2012, the Group implemented certain plan amendments that had the effect of reducing benefits of the participants in the Constellium Rolled Products Ravenswood Retiree Medical and Life Insurance Plan. In February 2013, five Constellium retirees and the United Steelworkers union filed a class action lawsuit against Constellium Rolled Products Ravenswood, LLC in a federal district court in West Virginia, alleging that Constellium Rolled Products Ravenswood, LLC improperly modified retiree health benefits. The Group believes that these claims are unfounded, and that Constellium Rolled Products Ravenswood, LLC had a legal and contractual right to make the applicable modification. |
Provisions
Provisions | 12 Months Ended |
Dec. 31, 2017 | |
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Provisions | NOTE 24—PROVISIONS (in millions of Euros) Close down and Restructuring Legal claims Total At January 1, 2017 88 5 56 149 Allowance 3 3 19 25 Amounts used (2 ) (2 ) (3 ) (7 ) Unused amounts reversed — (1 ) (4 ) (5 ) Unwinding of discounts (1 ) — — (1 ) Effects of changes in foreign exchange rates (7 ) — (1 ) (8 ) At December 31, 2017 81 5 67 153 Current 4 3 33 40 Non-Current 77 2 34 113 Total provisions 81 5 67 153 (in millions of Euros) Close down and Restructuring Legal claims Total At January 1, 2016 88 8 67 163 Allowance — 6 7 13 Amounts used (2 ) (5 ) (4 ) (11 ) Unused amounts reversed (1 ) (1 ) (14 ) (16 ) Unwinding of discounts 1 — — 1 Reclassified to Pension liabilities — (3 ) — (3 ) Effects of changes in foreign exchange rates 2 — — 2 At December 31, 2016 88 5 56 149 Current 3 3 36 42 Non-Current 85 2 20 107 Total provisions 88 5 56 149 Close down, environmental and remediation costs The Group records provisions for the estimated present value of the costs of its environmental clean-up It is expected that these provisions will be settled over the next 40 years depending on the nature of the disturbance and the technical remediation plans. Restructuring costs The Group records provisions for restructuring costs when management has a detailed formal plan, is demonstrably committed to its execution and can reasonably estimate the associated liabilities. The related expenses are presented as Restructuring costs in the Consolidated Income Statement. Legal claims and other costs (in millions of Euros) At December 31, 2017 At December 31, 2016 Maintenance and customer related provisions (A) 25 14 Litigation (B) 36 35 Disease claims (C) 3 4 Other 3 3 Total provisions for legal claims and other costs 67 56 (A) These provisions include €3 million in 2017 (€3 million in 2016) related to general equipment maintenance, mainly linked to the Group leases. These provisions also include €16 million in 2017 (€7 million in 2016) related to customer litigation, product warranties and guarantees and €6 million in 2017 (€4 million in 2016) related to late delivery penalties. These provisions are expected to be used over the next five years. (B) The Group is involved in litigation and other proceedings, such as civil, commercial and tax proceedings, incidental to normal operations. It is not anticipated that the resolution of such litigation and proceedings will have a material effect on the future results, financial position, or cash flows of the Group. (C) Since the early 1990s, certain activities of the Group’s businesses have been subject to claims and lawsuits in France relating to occupational diseases resulting from alleged asbestos exposure, such as mesothelioma and asbestosis. It is not uncommon for the investigation and resolution of such claims to go on over many years as the latency period for acquiring such diseases is typically between 25 and 40 years. For any such claim, it is up to the social security authorities in each jurisdiction to determine if a claim qualifies as an occupational illness claim. If so determined, the Group must settle the case or defend its position in court. At December 31, 2017, 7 cases in which gross negligence is alleged (“ faute inexcusable |
Share Capital
Share Capital | 12 Months Ended |
Dec. 31, 2017 | |
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Share Capital | NOTE 25—SHARE CAPITAL At December 31, 2017, authorized share capital amounts to €8 million and is divided into 400,000,000 Class A ordinary shares, each with a nominal value of €0.02. All shares, except for the ones held by Constellium N.V., have the right to one vote. In millions of Euros Number of shares Share capital Share premium At January 1, 2017 105,581,673 2 162 New shares issued (A) 28,928,950 1 258 At December 31, 2017 (B) 134,510,623 3 420 (A) Constellium N.V. issued and granted 125,000 Class A ordinary shares to certain employees and 53,950 Class A ordinary shares to its Board members. (See NOTE 28- On November 3 rd (B) Constellium N.V. holds 38,597 Class A ordinary shares at December 31, 2017. |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2017 | |
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Commitments | NOTE 26—COMMITMENTS Non-cancellable The Group leases various buildings, machinery, and equipment under operating lease agreements. Total rent expense was €27 million for the year ended December 31, 2017 (€27 million for the year ended December 31, 2016 and €29 million for the year ended December 31, 2015). The future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2017 At December 31, 2016 Less than 1 year 19 17 1 to 5 years 49 40 More than 5 years 40 48 Total non-cancellable 108 105 Capital expenditures commitments (in millions of Euros) At December 31, 2017 At December 31, 2016 Computer Software 2 3 Property, plant and equipment 99 85 Total capital expenditure commitments 101 88 As at December 31, 2017, the Company has no other significant commitments. Guarantee and commitments given to Constellium UACJ LLC are described in NOTE 17 – Investments accounted for under the equity method. |
Related Parties
Related Parties | 12 Months Ended |
Dec. 31, 2017 | |
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Related Parties | NOTE 27—RELATED PARTIES Subsidiaries and affiliates A list of the principal companies controlled by the Group is presented in NOTE 29 – Subsidiaries and operating segments. Transactions between fully consolidated companies are eliminated when preparing the Consolidated Financial Statements. Investments accounted for under the equity method are the only related parties identified by the Group during the years ended December 31, 2017, 2016 and 2015. Transactions with these related parties are described in NOTE 17 – Investments accounted for under the equity method. Key management remuneration The Group’s key management comprises the Board members and the Executive committee members effectively present during 2017. Executive committee members are those persons having authority and responsibility for planning, directing and controlling the activities of the entity, directly reporting to the CEO. The costs reported below are compensation and benefits for key management: - Short term employee benefits include their base salary plus bonus. - Directors’ fees include annual director fees, Board and committees’ attendance fees. - Share-based compensation includes the portion of the IFRS 2 expense as allocated to key management. - Post-employment benefits mainly include pension costs. - Termination benefits include departure costs. As a result, the aggregate compensation for the Group’s key management is comprised of the following: (in millions of Euros) Year ended Year ended Year ended Short term employee benefits 8 10 8 Directors’ fees 1 1 1 Share-based compensation 4 2 2 Post-employments benefits — — 1 Termination benefits 1 1 1 Employer social contribution 1 2 1 Total 15 16 14 |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
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Share-Based Compensation | NOTE 28—SHARE-BASED COMPENSATION Description of the plans Performance-Based Restricted Stock Units (equity-settled) The Company granted Performance Share Units (PSUs) to selected employees. These units will vest after three years from the grant date if the following conditions are met: • A vesting condition under which the beneficiaries must be continuously employed by the Company through the end of the vesting period (3 years); and • For PSUs granted in 2015 and 2016, a performance condition, contingent on the Total Stockholder Return (TSR) performance of Constellium over the measurement periods compared to the TSR of a specified group of peer companies. PSUs will ultimately vest, depending on the TSR performance at each testing period, based on a vesting multiplier in a range from 0% to 300%; • For PSUs granted in 2017, a performance condition, contingent on the TSR performance of Constellium over the three years measurement period compared to the TSR of specified indices. PSUs will ultimately vest based on a range from 0% to 200%. The PSUs granted in November 2015 achieved a TSR performance of 118.2% at its first testing period and of 251.1% at its second testing period, which represents respectively 47,229 potential additional shares in 2016 and 366,669 potential additional shares in 2017, that all could vest in November 2018 subject to the continued employment of the beneficiaries. The PSUs granted in March 2016, August 2016 and November 2016 achieved, respectively, a TSR performance of 115.9%, 191.6% and 223.8% at their first testing period, which represents 186,059 potential additional shares that could vest in 2019 subject to the continued employment of the beneficiaries. The following table lists the inputs to the model used for the PSUs granted in 2017 and 2016: Year ended December 31, 2017 Year ended December 31, 2016 Fair value at grant date (in Euros) 11.52 [6.76 – 9.86] Share price at grant date (in Euros) 7.50 [4.46 – 5.61] Dividend yield — — Expected volatility 75% [69% – 71%] Risk-free interest rate (U.S. government bond yield) 1.51% [0.76% – 1.27%] Model used Monte Carlo Monte Carlo Restricted Stock Units Award Agreements (equity-settled) The Company grants Restricted Stock Units (RSUs) to a certain number of employees subject to the beneficiaries remaining continuously employed within the Group from the grant date through the end of the vesting period. Vesting period is three years. In 2016, the Company also granted 150,000 RSUs which vest in equal installments on the first two anniversaries of the grant date, subject to continued employment, of which 75,000 vested on the first anniversary in 2017. The fair value of RSUs awarded under the plans described above is the quoted market price at grant date. Equity Awards Plans (equity-settled) Company Board members have been granted RSU awards annually since 2012. These RSUs vest in equal installments on the first two anniversaries of the date of grant, subject to their continued service. The fair value of RSUs awarded under the plan is the quoted market price at grant date. Expense recognized during the year In accordance with IFRS 2, share based compensation is recognized as expense over the vesting period. The estimate of this expense is based upon the fair value of a Class A potential ordinary share at the grant date. The total expense related to the potential ordinary shares for the year ended December 31, 2017, 2016 and 2015 amounted to €8 million, €6 million and €5 millions respectively. Movement of potential shares The following table illustrates the number, weighted-average fair value of, and movements in shares during the year: Performance-Based RSU Restricted Stock Units Equity Award Plans Potential Weighted-Average Potential Weighted-Average Potential Weighted-Average At January 1, 2016 1,007,000 € 7.77 269,500 € 16.10 34,865 € 14.11 Granted (A) 1,292,000 € 7.56 340,300 € 5.40 81,858 € 4.02 Over-performance (B) 47,229 € 7.10 — — — — Vested — — (87,300 ) € 19.75 (21,842 ) € 15.84 Forfeited (C) (279,394 ) € 8.71 (43,000 ) € 16.40 — — At December 31, 2016 2,066,835 € 7.50 479,500 € 7.82 94,881 € 5.01 Granted (A) 892,781 € 11.52 703,180 € 7.50 54,409 € 6.09 Over-performance (B) 552,728 € 7.63 — — — — Vested — — (125,000 ) € 7.02 (53,950 ) € 5.76 Forfeited (C) (254,504 ) € 8.29 (113,180 ) € 7.27 — — At December 31, 2017 3,257,840 € 8.56 944,500 € 7.76 95,340 € 5.20 (A) For PSUs, the number of potential shares granted is presented using a vesting multiplier of 100%. (B) When the achievement of TSR performance exceeds the vesting multiplier of 100%, the additional potential shares are presented as over-performance shares. (C) For potential shares related to PSUs, 175,837 were forfeited following the departure of certain beneficiaries and 78,667 were forfeited in relation to the non-fulfilment of performance conditions. |
Subsidiaries and Operating Segm
Subsidiaries and Operating Segments | 12 Months Ended |
Dec. 31, 2017 | |
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Subsidiaries and Operating Segments | NOTE 29—SUBSIDIARIES AND OPERATING SEGMENTS The following Group’s affiliates are legal entities included in the consolidated financial statements of the Group at December 31, 2017. Entity Country % Group Interest Consolidation Cross Operating Segment Constellium Singen GmbH (AS&I and P&ARP) Germany 100 % Full Constellium Valais S.A. (AS&I and A&T) Switzerland 100 % Full AS&I Constellium Automotive USA, LLC U.S. 100 % Full Constellium Engley (Changchun) Automotive China 54 % Full Constellium Extrusions Decin S.r.o. Czech Republic 100 % Full Constellium Extrusions Deutschland GmbH Germany 100 % Full Constellium Extrusions Landau GmbH Germany 100 % Full Constellium Extrusions Burg GmbH Germany 100 % Full Constellium Extrusions France S.A.S. France 100 % Full Constellium Extrusions Levice S.r.o. Slovakia 100 % Full Constellium Automotive Mexico, S. DE R.L. DE C.V. Mexico 100 % Full Constellium Automotive Mexico Mexico 100 % Full Astrex Inc Canada 50 % Full Constellium Automotive Zilina S.r.o. Slovakia 100 % Full A&T Constellium Issoire France 100 % Full Constellium Montreuil Juigné France 100 % Full Constellium China China 100 % Full Constellium Italy S.p.A Italy 100 % Full Constellium Japan KK Japan 100 % Full Constellium Rolled Products Ravenswood, LLC U.S. 100 % Full Constellium Southeast Asia PTE LTD Singapore 100 % Full Constellium Ussel S.A.S. France 100 % Full P&ARP Constellium Deutschland GmbH Germany 100 % Full Constellium Rolled Products Singen GmbH KG Germany 100 % Full Constellium Property and Equipment Company, LLC U.S. 100 % Full Constellium Neuf Brisach France 100 % Full Wise Metals Group LLC U.S. 100 % Full Wise Alloys, LLC U.S. 100 % Full Wise Alloys Funding LLC U.S. 100 % Full Wise Alloys Funding II LLC U.S. 100 % Full Listerhill Total Maintenance Center LLC U.S. 100 % Full Constellium Metal Procurement LLC U.S. 100 % Full Constellium-UACJ ABS LLC U.S. 51 % Equity Rhenaroll France 50 % Equity Holdings & Corporate C-TEC France 100 % Full Constellium Finance S.A.S. France 100 % Full Constellium France III France 100 % Full Constellium France Holdco S.A.S. France 100 % Full Constellium International France 100 % Full Constellium Paris S.A.S France 100 % Full Constellium Germany Holdco GmbH & Co. KG Germany 100 % Full Constellium Germany Verwaltungs GmbH Germany 100 % Full Constellium Holdco II B.V. Netherlands 100 % Full Constellium UK Limited United Kingdom 100 % Full Constellium U.S. Holdings I, LLC U.S. 100 % Full Constellium Switzerland AG Switzerland 100 % Full Constellium W S.A.S. France 100 % Full Constellium Treuhand UG Germany 100 % Full Engineered Products International S.A.S. France 100 % Full |
Parent Company
Parent Company | 12 Months Ended |
Dec. 31, 2017 | |
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Parent Company | NOTE 30—PARENT COMPANY Statement of Financial Position of Constellium N.V. (parent company only) (in millions of Euros) At December 31, 2017 At December 31, 2016 Assets Current assets Cash and cash equivalents — — Trade receivables and other 53 233 Other financial assets 28 33 81 266 Non-current Property, plant and equipment — — Financial assets 2,143 1,508 Investments in subsidiaries 131 111 2,274 1,619 Total Assets 2,355 1,885 Liabilities Current liabilities Trade payables and other 6 3 Other financial liabilities 22 35 28 38 Non-current Borrowings 1,957 1,673 1,957 1,673 Total Liabilities 1,985 1,711 Equity Share capital 3 2 Share premium 429 171 Accumulated retained earnings (17 ) (11 ) Other reserves 25 18 Net (loss) for the year (70 ) (6 ) Total Equity 370 174 Total Equity and Liabilities 2,355 1,885 Statement of Comprehensive Income / (Loss) of Constellium N.V. (parent company only) (in millions of Euros) Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 Revenue 1 1 — Gross profit 1 1 — Selling and administrative expenses (5 ) (8 ) (7 ) Employee benefit expenses (1 ) — — Loss from recurring operations (5 ) (7 ) (7 ) Other income — — 1 Other expenses — — (3 ) Loss from operations (5 ) (7 ) (9 ) Financial result—net (65 ) 1 9 Loss before income tax (70 ) (6 ) — Income tax — — — Net loss (70 ) (6 ) — Other comprehensive income — — — Total comprehensive loss (70 ) (6 ) — Statement of Cash Flows of Constellium N.V. (parent company only) (in millions of Euros) Year ended Year ended Year ended Net loss (70 ) (6 ) — Adjustments Finance costs—net 65 (1 ) (9 ) Dividend received — — — Interest paid (148 ) (95 ) (61 ) Interest received 149 103 74 Changes in working capital: Trade receivables and other (1 ) — 26 Other financial liabilities — — (1 ) Trade payables and other 2 (1 ) (44 ) Net cash flows used in operating activities (3 ) — (15 ) Investments in subsidiaries (11 ) — — Current account with subsidiary (for cash pooling) 180 (186 ) 17 Loans granted to subsidiary and related parties (1,640 ) (375 ) — Repayment of loans granted to subsidiary and related parties 823 181 — Exit fees received from Subsidiaries 9 — — Net cash flows (used in)/ from investing activities (639 ) (380 ) 17 Net proceeds received from issuance of shares 259 — — Proceeds from issuance of Senior Notes 1,440 375 — Payment of deferred financing costs (29 ) (12 ) (2 ) Repayment of Senior Notes (949 ) — — Payment of exit fees (61 ) — — Realized foreign exchange gains / (losses) (17 ) 17 — Other (1 ) — — Net cash flows from / (used in) financing activities 642 380 (2 ) Net increase in cash and cash equivalents — — — Cash and cash equivalents—beginning of period — — — Effect of exchange rate changes on cash and cash equivalents — — — Cash and cash equivalents—end of period — — — Basis of preparation The parent company only financial information of Constellium N.V., presented above, is prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board and as endorsed by the European Union. Accounting policies adopted in the preparation of this condensed parent company only financial information are the same as those adopted in the consolidated financial statements and described in NOTE 2—Summary of significant accounting policies, except that the cost method has been used to account for investments in subsidiaries. As at December 31, 2017, there were no material contingencies at Constellium N.V. A description of Constellium N.V. (parent company only) borrowings and related maturity dates is provided in NOTE 20—Borrowings. Non-current Other financial liabilities represent interest payable on borrowings. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
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Subsequent Events | NOTE 31—SUBSEQUENT EVENTS In January 2018, the Muscle Shoals factoring agreement was amended to increase maximum capacity to $375 million and extend maturity to January 24, 2020. On January 31, 2018, Constellium announced that the request by Constellium to delist its shares from Euronext Paris has been approved by the Board of Directors of Euronext Paris SA. On February 1, 2018 Constellium announced that it signed a binding agreement with Novelis to sell the North Building Assets of its Sierre plant in Switzerland, which have been leased and operated by Novelis since 2005, and to contribute the plant’s shared infrastructure to a 50-50 |
Summary of Significant Accoun38
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
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Basis of consolidation | Basis of consolidation These consolidated financial statements include all the assets, liabilities, equity, revenues, expenses and cash flows of the entities and businesses controlled by Constellium. All intercompany transactions and balances are eliminated. Subsidiaries are entities over which the Group has control. The Group controls an entity when the Group has power over the investee, is exposed to, or has rights to variable returns from its involvement in the entity and has the ability to affect those returns through its power over the entity. Subsidiaries are fully consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases. Investments over which the Group has significant influence or joint control are accounted for under the equity method. The investments are initially recorded at cost. Subsequently they are increased or decreased by the Group’s share in the profit or loss, or by other movements reflected directly in the equity of the entity. |
Business combination | Business combination The Group applies the acquisition method to account for business combinations. The consideration transferred for the acquisition of a subsidiary is the fair value of the assets transferred, the liabilities assumed and the equity interests issued by the Group. The consideration transferred includes the fair value of any asset or liability resulting from a contingent consideration arrangement. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The amount of non-controlling Goodwill is initially measured as the excess of the aggregate of the consideration transferred and the amount of non-controlling At the acquisition date, the Group recognizes the identifiable acquired assets, liabilities and contingent liabilities (identifiable net assets) of the subsidiaries on the basis of fair value at the acquisition date. Recognized assets and liabilities may be adjusted during a maximum of 12 months from the acquisition date, depending on new information obtained about the facts and circumstances existing at the acquisition date. Significant assumptions used in determining allocation of fair value include the following valuation techniques: the cost approach, the income approach and the market approach which are determined based on cash flow projections and related discount rates, industry indices, market prices regarding replacement cost and comparable market transactions. Acquisition related costs are expensed as incurred and included in Other gains / (losses)—net in the Consolidated Income Statement. |
Cash-generating units | Cash-generating units The reporting units (which generally correspond to an industrial site), the lowest level of the Group’s internal reporting, have been identified as its cash-generating units. |
Goodwill | Goodwill Goodwill arising from a business combination is carried at cost as established at the date of the business combination less accumulated impairment losses, if any. Goodwill is allocated and monitored at the operating segments level which are the groups of cash-generating units that are expected to benefit from the synergies of the combination. The operating segments represent the lowest level within the Group at which the goodwill is monitored for internal management purposes. Gains and losses on the disposal of a cash-generating unit include the carrying amount of goodwill relating to the cash-generating unit sold. |
Impairment of goodwill | Impairment of goodwill A group of cash-generating units to which goodwill is allocated is tested for impairment annually, or more frequently when there is an indication that the group of units may be impaired. The net carrying value of a group of cash-generating units is compared to its recoverable amount, which is the higher of the value in use and the fair value less cost of disposal. Value in use calculations use cash flow projections based on financial budgets approved by management and covering usually a 5-year The value in use is the sum of discounted cash flows over the projected period and the terminal value. Discount rates are determined based on the weighted-average cost of capital of each operating segment. The fair value is the price that would be received for the group of cash-generating units, in an orderly transaction, from a market participant. This value is estimated on the basis of available and relevant market data or a discounted cash flow model reflecting market participant assumptions. An impairment loss is recognized for the amount by which the group of units carrying amount exceeds its recoverable amount. Any impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the group of cash-generating units and then, to the other assets of the group of units pro rata on the basis of the carrying amount of each asset in the group of units. Any impairment loss is recognized in the line Impairment in the Consolidated Income Statement. An impairment loss recognized for goodwill cannot be reversed in subsequent periods. |
Non-current assets (and disposal groups) classified as held for sale & Discontinued operations | Non-current IFRS 5 ‘Non-current Assets and liabilities are classified as held for sale when their carrying amount will be recovered principally through a sale transaction rather than through continuing use. This condition is regarded as met only when the sale is highly probable and the non-current Assets and liabilities are stated at the lower of carrying amount and fair value less costs to sell if their carrying amount is to be recovered principally through a sale transaction rather than through continuing use. Assets and liabilities held for sale are presented in separate line items in the Consolidated Statement of Financial Position of the period during which the decision to sell is made. The results of discontinued operations are shown separately in the Consolidated Income Statement and Consolidated Statement of Cash Flows. |
Foreign currency transactions and foreign operations | Foreign currency transactions and foreign operations Functional currency Items included in the consolidated financial statements of each of the entities and businesses of Constellium are measured using the currency of the primary economic environment in which each of them operates (their functional currency). Foreign currency transactions Transactions denominated in currencies other than the functional currency are recorded in the functional currency at the exchange rate in effect at the date of the transaction. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end Foreign operations: presentation currency and foreign currency translation In the preparation of the Consolidated Financial Statements, the year-end year-end The net differences arising from exchange rate translation are recognized in the Consolidated Statement of Comprehensive Income / (Loss). The following table summarizes the main exchange rates used for the preparation of the Consolidated Financial Statements : Foreign exchange rate for 1 Euro Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 Average rate Closing rate Average rate Closing rate Average rate Closing rate U.S. Dollars USD 1.1273 1.1993 1.1063 1.0541 1.1089 1.0887 Swiss Francs CHF 1.1103 1.1702 1.0901 1.0739 1.0669 1.0835 Czech Koruna CZK 26.3151 25.5349 27.0342 27.0210 27.2762 27.0226 |
Revenue recognition | Revenue recognition Revenue is measured at the fair value of the consideration received or receivable. Revenue from product sales, net of trade discounts, allowances and volume-based incentives, is recognized once delivery has occurred, and provided persuasive evidence that the following criteria are met: - The significant risks and rewards of ownership of the product have been transferred to the buyer; - Neither continuing managerial involvement to the degree usually associated with ownership, nor effective control over the goods sold, has been retained by Constellium; - The amount of revenue can be measured reliably; - It is probable that the economic benefits associated with the sale will flow to Constellium; and - The costs incurred or to be incurred in respect of the sale can be measured reliably. The Group also enters into tolling agreements whereby clients provide the metal which the Group will then manufacture for them. In these circumstances, revenue is recognized when services are provided at the date of redelivery of the manufactured metal. Amounts billed to customers in respect of shipping and handling are classified as revenue when the Group is responsible for carriage, insurance and freight. All shipping and handling costs incurred by the Group are recognized in Cost of sales. |
Deferred tooling revenue and related costs | Deferred tooling revenue and related costs Certain automotive long term contracts include the design and manufacture of customized parts. To manufacture such parts, certain specialized or customized tooling is required. In accordance with IAS 11 ‘Construction Contracts’, the Group accounts for the tooling revenue and related costs provided by third party manufacturers on the basis of percentage of completion of the contract. |
Research and development costs | Research and development costs Costs incurred on development projects are recognized as intangible assets when the following criteria are met: - It is technically feasible to complete the intangible asset so that it will be available for use; - Management intends to complete and use the intangible asset; - There is an ability to use the intangible asset; - It can be demonstrated how the intangible asset will generate probable future economic benefits; - Adequate technical, financial and other resources to complete the development and use or sell the intangible asset are available; and - The expenditure attributable to the intangible asset during its development can be reliably measured. Development expenditures which do not meet these criteria are expensed as incurred. Development costs previously recognized as expenses are not recognized as an asset in a subsequent period. |
Other gains / (losses) - net | Other gains / (losses)—net Other gains / (losses)—net include: (i) realized and unrealized gains and losses on derivatives contracted for commercial purposes and accounted for at fair value through profit or loss, (ii) unrealized exchange gains and losses from the remeasurement of monetary assets and liabilities and (iii) ineffective portion of changes in fair value of derivatives, which are designated for hedge accounting. Other gains / (losses)—net separately identifies other unusual, infrequent or non-recurring |
Interest income and expense | Interest income and expense Interest income is recorded using the effective interest rate method on loans receivables and on the interest bearing components of cash and cash equivalents. Interest expense on short and long-term financing is recorded at the relevant rates on the various borrowing agreements. Borrowing costs (including interests) incurred for the construction of any qualifying asset are capitalized during the period of time required to complete and prepare the asset for its intended use. |
Share-based payment arrangements | Share-based payment arrangements Equity-settled share-based payments to employees and Board members providing similar services are measured at the fair value of the equity instruments at the grant date. The fair value determined at the grant date is expensed on a straight-line basis over the vesting period, based on the Group’s estimate of equity instruments that will eventually vest, with a corresponding increase in equity. At the end of each reporting year, the Group revises its estimate of the number of equity instruments expected to vest. |
Property, plant and equipment | Property, plant and equipment Recognition and measurement Property, plant and equipment acquired by the Company are recorded at cost, which comprises the purchase price (including import duties and non-refundable work-in-progress Subsequent costs Enhancements and replacements are capitalized as additions to Property, plant and equipment only when it is probable that future economic benefits associated with them will flow to the Company and the cost of the item can be measured with reliability. Ongoing regular maintenance costs related to Property, plant and equipment are expensed as incurred. Depreciation Land is not depreciated. Property, plant and equipment are depreciated over the estimated useful lives of the related assets using the straight-line method as follows: - Buildings 10 – 50 years; - Machinery and equipment 3 – 40 years; and - Vehicles 5 – 8 years. |
Intangible assets | Intangible assets Recognition and measurement Technology and Customer relationships acquired in a business combination are recognized at fair value at the acquisition date. Following initial recognition, intangible assets are carried at cost less any accumulated amortization and impairment losses. The useful lives of the Group intangible assets are assessed to be finite. Amortization Intangible assets are amortized over the estimated useful lives of the related assets using the straight-line method as follows: - Technology 20 years; - Customer relationships 25 years; and - Software 3 – 5 years. |
Impairment of property, plant and equipment and intangible assets | Impairment of property, plant and equipment and intangible assets Property, plant and equipment and intangible assets subject to amortization are reviewed for impairment if there is any indication that the carrying amount of the asset (or cash-generating unit to which it belongs) may not be recoverable. The recoverable amount is based on the higher of fair value less cost of disposal (market value) and value in use (determined using estimates of discounted future net cash flows of the asset or group of assets to which it belongs). Any impairment loss is recognized in the line Impairment in the Consolidated Income Statement. |
Financial instruments | Financial instruments (i) Financial assets Financial assets are classified either: (a) at fair value through profit or loss, or as (b) loans and receivables. The classification depends on the purpose for which the financial assets were acquired. Management determines the classification of Constellium’s financial assets at initial recognition. (a) At fair value through profit or loss: These are financial assets held for trading. A financial asset is classified in this category if it is acquired principally for the purpose of selling in the short term. Derivatives are categorized as held for trading except when they are designated as hedging instruments in a hedging relationship that qualifies for hedge accounting in accordance with IAS 39, ‘Financial instruments’. Financial assets carried at fair value through profit or loss are initially recognized at fair value and transaction costs are expensed in the Consolidated Income Statement. (b) Loans and receivables: These are non-derivative non-current non-current (ii) Financial liabilities Borrowings and other financial liabilities (excluding derivative liabilities) are recognized initially at fair value, net of transaction costs incurred and directly attributable to the issuance of the liability. These financial liabilities are subsequently measured at amortized cost using the effective interest rate method. Any difference between the amounts originally received (net of transaction costs) and the redemption value is recognized in the Consolidated Income Statement using the effective interest rate method. (iii) Derivative financial instruments Derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently re-measured For derivative instruments that do not qualify for hedge accounting, changes in the fair value are recognized immediately in profit or loss and are included in ‘Other gains / (losses)—net’. For derivative instruments that are designated for hedge accounting, the group documents at the inception of the hedging transaction the relationship between hedging instruments and hedged items, as well as its risk management objective and strategy for undertaking the hedge transaction. The group also documents its assessment, both at hedge inception and on an ongoing basis, of whether the derivatives that are used in hedging transactions have been and will continue to be highly effective in offsetting changes in cash flows of hedged items. The effective portion of changes in the fair value of derivatives that are designated and qualify as cash flow hedges is recognized in Other Comprehensive Income and accumulated in reserves in equity. The gain or loss relating to the ineffective portion is recognized immediately in the Consolidated Income Statement within ‘Other gains / (losses)—net’. Amounts accumulated in equity are reclassified to the Consolidated Income Statement when the hedged item affects the Consolidated Income Statement. The gain or loss relating to the effective portion of derivative instruments hedging forecasted cash-flows under customer agreements is recognized in ‘Revenue’. When the forecasted transaction that is hedged results in the recognition of a non-financial When a hedging instrument expires or is sold or terminated, or when a hedge no longer meets the criteria for hedge accounting, any cumulative gain or loss existing in equity at that time remains in equity and is recognized when the forecasted transaction is ultimately recognized in the Consolidated Income Statement. When a forecasted transaction is no longer expected to occur, the cumulative gain or loss that was recognized in equity is immediately reclassified to the Consolidated Income Statement. (iv) Fair value Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Where available, relevant market prices are used to determine fair values. The Group periodically estimates the impact of credit risk on its derivatives instruments aggregated by counterparties and takes it into account when estimating the fair value of its derivatives. Credit Value Adjustments are calculated for asset derivatives based on Constellium counterparties credit risk. Debit Value Adjustments are calculated for credit derivatives based on Constellium own credit risk. The fair value method used is based on historical probability of default, provided by leading rating agencies. (v) Offsetting financial instruments Financial assets and liabilities are offset and the net amount reported in the Consolidated Statement of Financial Position when there is a legally enforceable right to offset the recognized amounts and there is an intention to settle on a net basis or realize the asset and settle the liability simultaneously. |
Leases | Leases Constellium as the lessee Leases in which a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating leases. Various buildings, machinery and equipment are leased from third parties under operating lease agreements. Under operating leases, lease payments are recognized as rent expense on a straight-line basis over the term of the lease agreement, and are included in Cost of sales or Selling and administrative expenses, depending on the nature of the leased assets. Leases of property, plant and equipment under which the Group has substantially all the risks and rewards of ownership are classified as finance leases. Various buildings and equipment are leased from third parties under finance lease agreements. Under such finance leases, the asset financed is recognized in Property, plant and equipment and the financing is recognized as a financial liability, in Borrowings. Constellium as the lessor Certain land, buildings, machinery and equipment are leased to third parties under finance lease agreements. At lease inception, the net book value of the related assets is removed from Property, plant and equipment and a Finance lease receivable is recorded at the lower of the fair value and the aggregate future cash payments to be received from the lessee computed at an interest rate implicit in the lease. As the Finance lease receivable from the lessee is due, interest income is recognized. |
Inventories | Inventories Inventories are valued at the lower of cost and net realizable value, primarily on a weighted-average cost basis. Weighted-average costs for raw materials, stores, work in progress and finished goods are calculated using the costs experienced in the current period based on normal operating capacity (and include the purchase price of materials, freight, duties and customs, the costs of production, which includes labor costs, materials and other expenses, which are directly attributable to the production process and production overheads). |
Trade account receivables | Trade account receivables Recognition and measurement Trade account receivables are recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, less impairment. Impairment An impairment of trade receivables is established when there is objective evidence that the Group will not be able to collect all amounts due. Indicators of impairment would include financial difficulties of the debtor, likelihood of the debtor’s insolvency, late payments, default or a significant deterioration in creditworthiness. The amount of the provision is the difference between the assets’ carrying value and the present value of the estimated future cash flows, discounted at the original effective interest rate. The expense (income) related to the increase (decrease) of the impairment is recognized in the Consolidated Income Statement. When a trade receivable is deemed uncollectible, it is written off against the impairment account. Subsequent recoveries of amounts previously written off are credited in Other gains / (losses) in the Consolidated Income Statement. Factoring arrangements In non-recourse |
Cash and cash equivalents | Cash and cash equivalents Cash and cash equivalents are comprised of cash in bank accounts and on hand, short-term deposits held on call with banks and other short-term highly liquid investments with original maturities of three months or less that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value, less bank overdrafts that are repayable on demand, provided there is an offset right. |
Share capital | Share capital Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds. |
Trade payables | Trade payables Trade payables are initially recorded at fair value and classified as current liabilities if payment is due in one year or less. |
Provisions | Provisions Provisions are recorded for the best estimate of expenditures required to settle liabilities of uncertain timing or amount when management determines that a legal or constructive obligation exists as a result of past events, it is probable that an outflow of resources will be required to settle the obligation, and such amounts can be reasonably estimated. Provisions are measured at the present value of the expected expenditures to be required to settle the obligation. The ultimate cost to settle such liabilities is uncertain, and cost estimates can vary in response to many factors. The settlement of these liabilities could materially differ from recorded amounts. In addition, the expected timing of expenditure can also change. As a result, there could be significant adjustments to provisions, which could result in additional charges or recoveries affecting future financial results. Types of liabilities for which the Group establishes provisions include: Close down and restoration costs Estimated close down and restoration costs are accounted for in the year when the legal or constructive obligation arising from the related disturbance occurs and it is probable that an outflow of resources will be required to settle the obligation. These costs are based on the net present value of estimated future costs. Provisions for close down and restoration costs do not include any additional obligations which are expected to arise from future disturbance. The costs are estimated on the basis of a closure plan including feasibility and engineering studies, are updated annually during the life of the operation to reflect known developments (e.g. revisions to cost estimates and to the estimated lives of operations) and are subject to formal review at regular intervals each year. The initial closure provision together with subsequent movements in the provisions for close down and restoration costs, including those resulting from new disturbance, updated cost estimates, changes to the estimated lives of operations and revisions to discount rates are capitalized within Property, plant and equipment. These costs are then depreciated over the remaining useful lives of the related assets. The amortization or unwinding of the discount applied in establishing the net present value of the provisions is charged to the Consolidated Income Statement as a financing cost. Environmental remediation costs Environmental remediation costs are accounted for based on the estimated present value of the costs of the Group’s environmental clean-up clean-up Restructuring costs Provisions for restructuring are recorded when Constellium’s management is demonstrably committed to the restructuring plan and where such liabilities can be reasonably estimated. The Group recognizes liabilities that primarily include one-time Legal, tax and other potential claims Provisions for legal claims are made when it is probable that liabilities will be incurred and when such liabilities can be reasonably estimated. For asserted claims and assessments, liabilities are recorded when an unfavorable outcome of a matter is deemed to be probable and the loss is reasonably estimable. Management determines the likelihood of an unfavorable outcome based on many factors such as the nature of the matter, available defenses and case strategy, progress of the matter, views and opinions of legal counsel and other advisors, applicability and success of appeals, process and outcomes of similar historical matters, amongst others. Once an unfavorable outcome is considered probable, management weights the probability of possible outcomes and the most likely loss is recorded. Legal matters are reviewed on a regular basis to determine if there have been changes in management’s judgment regarding the likelihood of an unfavorable outcome or the estimate of a potential loss. Depending on their nature, these costs may be charged to Cost of sales or Other gains/ (losses)–net in the Consolidated Income Statement. Included in other potential claims are provisions for product warranties and guarantees to settle the net present value portion of any settlement costs for potential future legal actions, claims and other assertions that may be brought by Constellium’s customers or the end-users Management establishes tax reserves and accrues interest thereon, if deemed appropriate, in expectation that certain tax return positions may be challenged and that the Group might not succeed in defending such positions, despite management’s belief that the positions taken were fully supportable. Pension, other post-employment plans and other long-term employee benefits For defined contribution plans, the contribution paid in respect of service rendered over the service period is recognized in the Consolidated Income Statement. This expense is included in Cost of sales, Selling and administrative expenses or Research and development expenses, depending on its nature. For defined benefit plans, the retirement benefit obligation recognized in the Consolidated Statement of Financial Position represents the present value of the defined benefit obligation as reduced by the fair value of plan assets. The effects of changes in actuarial assumptions and experience adjustments are presented in the Consolidated Statement of Comprehensive Income / (Loss). The amount charged to the Consolidated Income Statement in respect of these plans (including the service costs and the effect of any curtailment or settlement, net of interest costs) is included within the Income / (loss) from operations. The defined benefit obligations are assessed using the projected unit credit method. The most significant assumption is the discount rate. Other post-employment benefit plans mainly relate to health and life insurance benefits to retired employees and in some cases to their beneficiaries and covered dependents. Eligibility for coverage is dependent upon certain age and service criteria. These benefit plans are unfunded and are accounted for as defined benefit obligations, as described above. Other long term employee benefits mainly include jubilees and other long-term disability benefits. For these plans, actuarial gains and losses arising in the year are recognized immediately in the Consolidated Income Statement. |
Taxation | Taxation The current Income tax (expense) / benefit is calculated on the basis of the tax laws enacted or substantively enacted at the Consolidated Statement of Financial Position date in the countries where the Company and its subsidiaries operate and generate taxable income. The Group is subject to income taxes in the Netherlands, France, United States and numerous other jurisdictions. Certain of Constellium’s businesses may be included in consolidated tax returns within the Company. In certain circumstances, these businesses may be jointly and severally liable with the entity filing the consolidated return, for additional taxes that may be assessed. Deferred income tax assets and liabilities are recognized for the estimated future tax consequences attributable to temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. This approach also requires the recognition of deferred income tax assets for operating loss carryforwards and tax credit carryforwards. The effect on deferred tax assets and liabilities of a change in tax rates and laws is recognized as tax income / (loss) in the year when the rate change is substantively enacted. Deferred income tax assets and liabilities are measured using tax rates that are expected to apply in the year when the asset is realized or the liability is settled, based on the tax rates and laws that have been enacted or substantively enacted at the date of the Consolidated Statement of Financial Position. Deferred income tax assets are recognized only to the extent that it is probable that future taxable profit will be available against which the temporary differences can be utilized. |
Presentation of financial statements | Presentation of financial statements The consolidated financial statements are presented in millions of Euros, except Earnings per share in Euros. Certain reclassifications may have been made to prior year amounts to conform to current year presentation or with IFRS requirements. |
Pension, other post-employment benefits and other long-term employee benefits | Pension, other post-employment benefits and other long-term employee benefits The present value of the defined benefit obligations depends on a number of factors that are determined on an actuarial basis using a number of assumptions. The assumptions used in determining the defined benefit obligations and net pension costs include discount rates and rates of future compensation increase. Any material changes in these assumptions could result in a significant change in employee benefit expenses recognized in the Consolidated Income Statement, actuarial gains and losses recognized in Equity and prepaid and accrued benefits. Details of the key assumptions applied are set out in NOTE 23—Pensions and other post-employment benefit obligations. |
Summary of Significant Accoun39
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Disclosure of Foreign Exchange Rates | The following table summarizes the main exchange rates used for the preparation of the Consolidated Financial Statements : Foreign exchange rate for 1 Euro Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 Average rate Closing rate Average rate Closing rate Average rate Closing rate U.S. Dollars USD 1.1273 1.1993 1.1063 1.0541 1.1089 1.0887 Swiss Francs CHF 1.1103 1.1702 1.0901 1.0739 1.0669 1.0835 Czech Koruna CZK 26.3151 25.5349 27.0342 27.0210 27.2762 27.0226 |
Operating Segment Information (
Operating Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Operating Segment Information | 3.1 Segment Revenue Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 (in millions of Euros) Segment Inter External Segment Inter External Segment Inter External P&ARP 2,812 (7 ) 2,805 2,498 (16 ) 2,482 2,748 (6 ) 2,742 A&T 1,335 (34 ) 1,301 1,302 (23 ) 1,279 1,355 (7 ) 1,348 AS&I 1,123 (5 ) 1,118 1,002 (9 ) 993 1,047 (13 ) 1,034 Holdings & Corporate (A) 13 — 13 (11 ) — (11 ) 29 — 29 Total 5,283 (46 ) 5,237 4,791 (48 ) 4,743 5,179 (26 ) 5,153 (A) For the year ended December 31, 2017, Holdings & Corporate segment includes revenues from supplying metal to third parties. |
Summary of Revenue by Product Line | 3.2 Segment adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (in millions of Euros) Notes Year ended Year ended Year ended P&ARP 202 201 183 A&T 133 103 103 AS&I 119 102 80 Holdings & Corporate (23 ) (29 ) (23 ) Adjusted EBITDA 431 377 343 Metal price lag (A) 22 4 (34 ) Start-up (B) (17 ) (25 ) (21 ) Manufacturing system and process transformation costs (2 ) (5 ) (11 ) Wise integration and acquisition costs — (2 ) (14 ) Wise one-time (C) — (20 ) (38 ) Wise purchase price adjustment (D) 7 — 20 — Share based compensation costs (8 ) (6 ) (7 ) Gains / (Losses) on pension plan amendments (E) 23 20 — (5 ) Depreciation and amortization 15, 16 (171 ) (155 ) (140 ) Impairment 15 — — (457 ) Restructuring costs (4 ) (5 ) (8 ) Unrealized gains/(losses) on derivatives 7 57 71 (20 ) Unrealized exchange (losses) /gains from the remeasurement of monetary assets and liabilities—net 7 (4 ) 3 (3 ) Losses on disposals (3 ) (10 ) (5 ) Other (F) — (1 ) (6 ) Income / (loss) from operations 321 246 (426 ) Finance costs—net 9 (243 ) (167 ) (155 ) Share of loss of joint-ventures (29 ) (14 ) (3 ) Income / (loss) before income tax 49 65 (584 ) Income tax (expense) / benefit 10 (80 ) (69 ) 32 Net loss (31 ) (4 ) (552 ) (A) Metal price lag represents the financial impact of the timing difference between when aluminium prices included within Constellium revenues are established and when aluminium purchase prices included in Cost of sales are established. The Group accounts for inventory using a weighted average price basis and this adjustment aims to remove the effect of volatility in LME prices. The calculation of the Group metal price lag adjustment is based on an internal standardized methodology calculated at each of Constellium’s manufacturing sites and is primarily calculated as the average value of product recorded in inventory, which approximates the spot price in the market, less the average value transferred out of inventory, which is the weighted average of the metal element of cost of sales, based on the quantity sold in the period. (B) For the year ended December 31, 2017, start-up start-up (C) For the year ended December 31, 2016, Wise one-time one-time re-negotiation re-negotiation (D) The contractual price adjustment relating to the acquisition of Wise Metals Intermediate Holdings was finalized in 2016. We received a cash payment of €21 million and recorded a €20 million gain net of costs. (E) For the year ended December 31, 2017, amendments to certain Swiss pension plan, US pension plan and OPEB resulted in a €20 million net gain. (F) For the year ended December 31, 2017, other includes €3 million of legal fees and lump-sum 5-year one-time |
Summary of Revenue by Product Line | 3.3 Revenue by product lines (in millions of Euros) Year ended Year ended Year ended Packaging rolled products 2,146 2,003 2,205 Automotive rolled products 483 319 275 Specialty and other thin-rolled products 176 160 262 Aerospace rolled products 760 795 861 Transportation, Industry and other rolled products 541 484 487 Automotive extruded products 614 537 544 Other extruded products 504 456 490 Other 13 (11 ) 29 Total Revenue 5,237 4,743 5,153 |
Summary of Segment Capital Expenditures | 3.4 Segment capital expenditures (in millions of Euros) Year ended Year ended Year ended P&ARP (115 ) (166 ) (170 ) A&T (73 ) (96 ) (112 ) AS&I (83 ) (84 ) (60 ) Holdings & Corporate (5 ) (9 ) (8 ) Capital expenditures—Property, plant and equipment (276 ) (355 ) (350 ) |
Summary of Segment Assets | 3.5 Segment assets Segment assets are comprised of total assets of Constellium by segment, less deferred income tax assets, cash and cash equivalents and other financial assets. (in millions of Euros) At December 31, 2017 At December 31, 2016 P&ARP 1,629 1,652 A&T 769 768 AS&I 449 390 Holdings & Corporate 252 212 Segment Assets 3,099 3,022 Unallocated: Deferred income tax assets 164 252 Cash and cash equivalents 269 347 Other financial assets 179 166 Total Assets 3,711 3,787 |
Information by Geographic Area
Information by Geographic Area (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Disclosure of geographical areas | Revenue is reported based on destination of shipments: (in millions of Euros) Year ended Year ended Year ended France 557 493 564 Germany 1,217 1,042 1,112 United Kingdom 188 203 243 Switzerland 123 86 72 Other Europe 940 798 849 United States 1,691 1,511 1,677 Canada 78 68 91 Asia and Other Pacific 270 292 266 All Other 173 250 279 Total 5,237 4,743 5,153 |
Summary of Property, Plant and Equipment Reported Based on Physical Location of Assets | Property, plant and equipment are reported based on the physical location of the assets: (in millions of Euros) At December 31, 2017 At December 31, 2016 United States 681 729 France 586 543 Germany 156 134 Czech Republic 65 45 Other 29 26 Total 1,517 1,477 |
Expenses by Nature (Tables)
Expenses by Nature (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Detailed Information about Expenses by Nature | (in millions of Euros) Notes Year ended Year ended Year ended Raw materials and consumables used (3,197 ) (2,792 ) (3,176 ) Employee benefit expenses 6 (924 ) (897 ) (887 ) Energy costs (138 ) (140 ) (168 ) Sub-contractors (99 ) (108 ) (86 ) Freight out costs (124 ) (128 ) (130 ) Professional fees (77 ) (85 ) (75 ) Operating lease expenses (27 ) (27 ) (29 ) Depreciation and amortization 15,16 (171 ) (155 ) (140 ) Impairment 15 — — (457 ) Other operating expenses (229 ) (186 ) (300 ) Other gains / (losses)—net 7 70 21 (131 ) Total Operating expenses (4,916 ) (4,497 ) (5,579 ) |
Employee Benefit Expenses (Tabl
Employee Benefit Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Employee Benefit Expenses | (in millions of Euros) Notes Year ended Year ended Year ended Wages and salaries (872 ) (841 ) (836 ) Pension costs—defined benefit plans 23 (28 ) (33 ) (31 ) Other post—employment benefits 23 (16 ) (17 ) (15 ) Share-based compensation 28 (8 ) (6 ) (5 ) Total Employee benefit expenses (924 ) (897 ) (887 ) |
Other Gains _ (Losses) - Net (T
Other Gains / (Losses) - Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Other Gains/(Losses) Net | (in millions of Euros) Notes Year ended Year ended Year ended Realized gains/( losses) on derivatives (A) 22 — (62 ) (93 ) Unrealized gains / (losses) on derivatives at fair value through profit and loss—net (A) 3 57 71 (20 ) Unrealized exchange (losses) /gains from the remeasurement of monetary assets and liabilities—net 3 (4 ) 3 (3 ) Gains / (losses) on pension plan amendments 23 20 — (5 ) Losses on disposal (3 ) (10 ) (5 ) Wise purchase price adjustment (B) 3 — 20 — Wise acquisition costs — — (5 ) Other — (1 ) — Total other gains / (losses)—net 70 21 (131 ) (A) Realized gains/(losses) are related to derivatives entered into with the purpose of mitigating exposure to volatility in foreign currency and commodity price. Unrealized gains and losses are related to derivatives that do not qualify for hedge accounting. (B) The contractual price adjustment relating to the acquisition of Wise Metals Intermediate Holdings was finalized in 2016. We received a cash payment of €21 million and recorded €20 million gain net of costs. |
Currency Gains _ (Losses) (Tabl
Currency Gains / (Losses) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Currency Gains and Losses Included in Income from Operations | Currency gains and losses, which are included in Income from operations, are as follows: (in millions of Euros) Notes Year ended Year ended Year ended Included in Revenue 22 2 — — Included in Cost of sales (4 ) 4 13 Included in Other gains / (losses)—net (4 ) (3 ) (50 ) Total (6 ) 1 (37 ) Realized exchange losses on foreign currency derivatives—net 22 (15 ) (46 ) (37 ) Unrealized gains /(losses) on foreign currency derivatives—net 22 17 40 (10 ) Exchanges (losses)/gains from the remeasurement of monetary assets and liabilities—net (8 ) 7 10 Total (6 ) 1 (37 ) |
Summary of Foreign Currency Translation Reserve | Foreign currency translation reserve (in millions of Euros) Year ended Year ended Foreign currency translation reserve at January 1 12 6 Effect of currency translation differences—net (19 ) 6 Foreign currency translation reserve at December 31 (7 ) 12 |
Finance Costs - Net (Tables)
Finance Costs - Net (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Finance Costs-Net | (in millions of Euros) Year ended 2017 Year ended 2016 Year ended 2015 Interest received 7 5 1 Finance income 7 5 1 Interest expense on borrowings paid or payable (A) (147 ) (171 ) (149 ) Expenses on factoring arrangements paid or payable (16 ) (12 ) (11 ) Net loss on settlement of debt (B) (91 ) (4 ) — Realized and unrealized (losses) / gains on debt derivatives at fair value (C) (79 ) 45 50 Realized and unrealized exchange gains / (losses) on financing activities—net (C) 91 (42 ) (48 ) Other finance expense (15 ) 1 (6 ) Capitalized borrowing costs (D) 7 11 8 Finance expense (250 ) (172 ) (156 ) Finance costs—net (243 ) (167 ) (155 ) (A) For the year ended December 31, 2017, the Group incurred (i) €136 million of interest related to Constellium N.V. Senior Notes; (ii) €7 million of interest related to the Muscle Shoals Senior Notes and (iii) €4 million of interest expense and fees related to the Muscle Shoals and Ravenswood Revolving Credit Facilities (ABLs). For the year ended December 31, 2016, the Group incurred (i) €104 million of interest related to Constellium N.V. Senior Notes; (ii) €64 million of interest related to the Muscle Shoals Senior Notes and (iii) €3 million of interest expense and fees related to the Muscle Shoals and Ravenswood Revolving Credit Facilities (ABLs). For the year ended December 31, 2015, the Group incurred (i) €81 million of interest related to Constellium N.V. Senior Notes; (ii) €64 million of interest related to the Muscle Shoals Senior Notes and (iii) €4 million of interest expense and fees related to the Muscle Shoals and Ravenswood Revolving Credit Facilities (ABLs). (B) For the year ended December 31, 2017, net loss on settlement of debt relates to (i) the Muscle Shoals Senior Notes redemption in February 2017 for €13 million and (ii) Constellium N.V. Senior Notes redemption in November 2017 for €78 million. (see NOTE 20 – Borrowings). The total exit fees incurred and paid related to 2017 refinancings amount to €88 million. For the year ended December 31, 2016, €2 million of unamortized arrangement fees were fully recognized as financial expenses as result of the unsecured credit facility termination in March 2016; €2 million loss result from the Muscle Shoals PIK Toggle Notes redemption (see NOTE 20 – Borrowings). (C) The Group hedges the dollar exposure relating to the principal of its Constellium N.V. U.S. Dollar Senior Notes, for the portion that has not been used to finance directly or indirectly U.S. Dollar functional currency entities. Changes in the fair value of these hedging derivatives are recognized within Finance costs – net in the Consolidated Income Statement and largely offset the unrealized results related to Constellium N.V. U.S. Dollar Senior Notes revaluation. (D) Borrowing costs directly attributable to the construction of assets are capitalized. The capitalization rate used for the year ended December 31, 2017 was 6% (7% for the years ended December 31, 2016 and 2015). |
Income Tax (Tables)
Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Current and Deferred Components of Income Tax | The current and deferred components of income tax are as follows: (in millions of Euros) Year ended Year ended Year ended Current tax expense (26 ) (19 ) (21 ) Deferred tax (expense) / benefit (54 ) (50 ) 53 Total Income tax (expense) / benefit (80 ) (69 ) 32 |
Summary of Income Tax Reconciliation Using Composite Statutory Income Tax Rate Applicable by Tax Jurisdictions | Using a composite statutory income tax rate applicable by tax jurisdictions, the income tax can be reconciled as follows: (in millions of Euros) Year ended 2017 Year ended 2016 Year ended 2015 Income / (Loss) before income tax 49 65 (584 ) Composite statutory income tax rate applicable by tax jurisdiction 31.9 % 24.9 % 38.2 % Income tax (expense) / benefit calculated at composite statutory tax rate applicable by tax jurisdictions (16 ) (16 ) 223 Tax effect of: Changes in recognized and unrecognized deferred tax assets (A) (61 ) (45 ) (177 ) Change in tax rate (B) (11 ) (6 ) — Other 8 (2 ) (14 ) Income tax (expense) / benefit (80 ) (69 ) 32 Effective income tax rate 163 % 106 % 5 % (A) Change in recognized and unrecognized deferred tax assets mainly relates to unrecognized tax losses carried forward for the years ended December 31, 2017 and 2016 and to impairment of long term assets of one of our main entities for the year ended December 31, 2015 (see NOTE 18—Deferred income taxes). (B) For the year ended December 31, 2017, change in tax rate relates mainly to the U.S. income tax rate decrease from 40% to 27% for €16 million applicable from January 1, 2018 and to the gradual decrease in French tax rate to 25.82% as from 2022. For the year ended December 31, 2016, change in tax rate relates to French income tax decrease from 34,43% to 28,92% starting in 2020, enacted by 2016 Financial Tax bill. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Earning Per Share | (in millions of Euros) Year ended Year ended Year ended Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share (31 ) (4 ) (554 ) Number of shares attributable to equity holders of Constellium (number of shares) Year ended Year ended Year ended Weighted average number of ordinary shares used to calculate basic earnings per share 110,164,320 105, 105,097,442 Effect of other dilutive potential ordinary shares (A) — — — Weighted average number of ordinary shares used to calculate diluted earnings per share 110,164,320 105, 105,097,442 (A) For the years ended December 31, 2017, 2016 and 2015, there were 3,291,875, 411,902 and 510,721 potential ordinary shares respectively that could have a dilutive impact but were considered antidilutive due to negative earnings. Earnings per share attributable to the equity holders of Constellium (in Euro per share) Year ended Year ended Year ended Basic (0.28 ) (0.04 ) (5.27 ) Diluted (0.28 ) (0.04 ) (5.27 ) |
Cash and Cash Equivalents (Tabl
Cash and Cash Equivalents (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Cash and Cash Equivalents | (in millions of Euros) At At Cash in bank and on hand 269 347 Total Cash and cash equivalents 269 347 |
Trade Receivables and Other (Ta
Trade Receivables and Other (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Trade Receivables and Other | Trade receivables and other are comprised of the following: At December 31, 2017 At December 31, 2016 (in millions of Euros) Non-current Current Non-current Current Trade receivables—gross — 309 — 238 Impairment — (3 ) — (3 ) Total Trade receivables—net — 306 — 235 Finance lease receivables 6 6 12 6 Deferred tooling related costs 28 — 11 — Current income tax receivables — 58 — 52 Other taxes — 30 — 39 Restricted cash (A) 1 — 9 — Prepaid expenses 5 8 6 9 Other 8 11 9 14 Total Other receivables 48 113 47 120 Total Trade receivables and Other 48 419 47 355 (A) Restricted cash relates mainly to a pledge given to the State of West Virginia as a guarantee for certain workers’ compensation obligations for which the company is self-insured at December 31, 2016. |
Summary of Aging of Total Trade Receivables - Net | The aging of total trade receivables—net is as follows: (in millions of Euros) At December 31, 2017 At December 31, 2016 Not past due 286 217 1 – 30 days past due 13 14 31 – 60 days past due 2 3 61 – 90 days past due 3 1 Greater than 91 days past due 2 — Total Trade receivables—net 306 235 |
Summary of Carrying Amounts of Total Trade Receivables - Net by Currency | The composition of the carrying amounts of total Trade receivables – net by currency is shown in Euro equivalents as follows: (in millions of Euros) At December 31, 2017 At December 31, 2016 Euro 124 101 U.S. Dollar 164 115 Swiss franc 4 3 Other currencies 14 16 Total trade receivables—net 306 235 |
Disclosure of Gross Investments In Leases Net Investment Leases | The following table shows the reconciliation of the Group’s gross investments in the leases to the net investment in the leases at December 31, 2017 and 2016. Year ended December 31, 2017 Year ended December 31, 2016 (in millions of Euros) Gross Unearned Net Gross Unearned Net Less than 1 year 6 — 6 7 (1 ) 6 Between 1 and 5 years 6 — 6 12 — 12 More than 5 years — — — — — — Total Finance lease receivables 12 — 12 19 (1 ) 18 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Disclosure of Inventories | (in millions of Euros) At December 31, 2017 At December 31, 2016 Finished goods 164 149 Work in progress 332 299 Raw materials 111 94 Stores and supplies 64 69 Adjustments (A) (28 ) (20 ) Total inventories 643 591 (A) Includes Net realizable value adjustments. |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Property Plant and Equipment | (in millions of Euros) Land and Buildings Machinery Construction Other Total Net balance at January 1, 2017 19 209 1,020 221 8 1,477 Additions 1 2 50 224 5 282 Disposals — (1 ) (3 ) — — (4 ) Depreciation expense (4 ) (13 ) (135 ) — (7 ) (159 ) Transfer during the period — 18 223 (237 ) 4 8 Effects of changes in foreign exchange rates (2 ) (9 ) (66 ) (10 ) — (87 ) Net balance at December 31, 2017 14 206 1,089 198 10 1,517 Cost 25 321 1,712 204 29 2,291 Less accumulated depreciation and impairment (11 ) (115 ) (623 ) (6 ) (19 ) (774 ) Net balance at December 31, 2017 14 206 1,089 198 10 1,517 (in millions of Euros) Land and Buildings Machinery Construction Other Total Net balance at January 1, 2016 21 158 773 296 7 1,255 Additions — 6 56 297 3 362 Disposals — — (6 ) (5 ) — (11 ) Depreciation expense (4 ) (13 ) (120 ) — (7 ) (144 ) Transfer during the period 1 55 309 (370 ) 5 — Effects of changes in foreign exchange rates 1 3 8 3 — 15 Net balance at December 31, 2016 19 209 1,020 221 8 1,477 Cost 27 324 1,581 228 27 2,187 Less accumulated depreciation and impairment (8 ) (115 ) (561 ) (7 ) (19 ) (710 ) Net balance at December 31, 2016 19 209 1,020 221 8 1,477 |
Summary of Amounts Included in Building, Machinery and Equipment Under a Finance Lease | Building, machinery and equipment includes the following amounts where the Group is a lessee under a finance lease: At December 31, 2017 At December 31, 2016 (in millions of Euros) Gross Accumulated Net Gross Accumulated Net Buildings under finance lease 30 (5 ) 25 31 (3 ) 28 Machinery and equipment under finance lease 62 (27 ) 35 50 (21 ) 29 Total 92 (32 ) 60 81 (24 ) 57 |
Summary of Future Aggregate Minimum Lease Payments Under Non-cancellable Finance Leases | The future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2017 At December 31, 2016 Less than 1 year 15 13 1 to 5 years 37 36 More than 5 years 19 22 Total 71 71 The present value of future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2017 At December 31, 2016 Less than 1 year 14 10 1 to 5 years 30 35 More than 5 years 16 15 Total 60 60 |
Summary of Total Depreciation Expense and Impairment Losses Relating to Property Plant and Equipment and Intangible Assets | Total depreciation expense and impairment losses relating to property, plant and equipment and intangible assets are presented in the Consolidated Income Statement as follows: (in millions of Euros) Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 Cost of sales (160 ) (147 ) (132 ) Selling and administrative expenses (8 ) (6 ) (6 ) Research and development expenses (3 ) (2 ) (2 ) Impairment — — (452 ) Total (171 ) (155 ) (592 ) |
Intangible Assets (Including 53
Intangible Assets (Including Goodwill) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Disclosure of Changes in Intangible Assets and Goodwill | (in millions of Euros) Goodwill Technology Computer Customer Work in Other Total Net balance at January 1, 2017 457 28 21 18 9 3 79 Additions — — — — 6 — 6 Amortization expense — (1 ) (9 ) (1 ) — (1 ) (12 ) Transfer during the period — 1 7 — (6 ) — 2 Effects of changes in foreign exchange rates (54 ) (4 ) (1 ) (2 ) — — (7 ) Net balance at December 31, 2017 403 24 18 15 9 2 68 Cost 403 81 55 38 9 3 186 Less accumulated amortization and impairment — (57 ) (37 ) (23 ) — (1 ) (118 ) Net balance at December 31, 2017 403 24 18 15 9 2 68 (in millions of Euros) Goodwill Technology Computer Customer Work in Other Total Net balance at January 1, 2016 443 28 23 18 7 2 78 Additions — — 1 — 4 — 5 Amortization expense — (1 ) (9 ) (1 ) — — (11 ) Transfer during the period — — 2 — (2 ) — — Effects of changes in foreign exchange rates 14 1 4 1 — 1 7 Net balance at December 31, 2016 457 28 21 18 9 3 79 Cost 457 91 52 43 9 3 198 Less accumulated amortization and impairment — (63 ) (31 ) (25 ) — — (119 ) Net balance at December 31, 2016 457 28 21 18 9 3 79 |
Investments Accounted for Und54
Investments Accounted for Under Equity Method (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Investments Accounted for Under Equity Method | The Group investments accounted for under the Equity method are Constellium-UACJ ABS LLC and Rhenaroll S.A. (in millions of Euros) Year ended 2017 Year ended 2016 At January 1, 16 30 Group share in loss (29 ) (14 ) Additions — — Reclassified to non-current 14 — Effects of changes in foreign exchange rates — — At December 31, 1 16 |
Summary of Share of Joint Ventures | Joint venture’s net assets Joint venture’s profit/ (loss) (In millions of Euros) % interest At December 31, 2017 At December 31, 2016 At December 31, 2017 At December 31, 2016 Constellium-UACJ ABS LLC (A) 51.00 % (14 ) 15 (29 ) (14 ) Rhenaroll S.A. (B) 49.85 % 1 1 — — Group share (13 ) 16 (29 ) (14 ) Reclassified to non-current 14 — — — Investment in joint venture 1 16 (29 ) (14 ) Constellium-UACJ ABS LLC and Rhenaroll S.A. are private companies with no quoted market prices available for their shares. (A) Constellium-UACJ ABS LLC, a joint-venture in which Constellium holds a 51% interest, was created in 2014. This joint-venture operates a facility located in Bowling Green, Kentucky and supplies aluminium sheet to the North American automotive industry. The joint venture started its operations during 2016. (B) The Group also holds a 49.85% interest in a joint-venture named Rhenaroll S.A. (located in Biesheim, France), specialized in the chrome-plating, grinding and repairing of rolling mills’ rolls and rollers. Revenue was €3 million for the years ended December 31, 2017 and 2016 respectively. The entity’s net income was immaterial in both 2017 and 2016. |
Summary of Amounts Included in Financial Statements in Accordance with Group Accounting Principles | The information presented hereafter reflects the amounts included in the financial statements of the relevant entity in accordance with Group accounting principles and not the Company’s share of those amounts. (in millions of Euros) At December 31, 2017 At December 31, 2016 Current assets Cash and cash equivalents 5 6 Trade receivables and other 35 7 Inventories 57 28 Non-current Property, plant and equipment 161 189 Intangible assets 1 1 Total Assets 259 231 Current liabilities Trade payables and other 34 26 Borrowings (A) 206 129 Non-current Borrowings 47 46 Equity (28 ) 30 Total Equity and Liabilities 259 231 (A) In February 2018, the maturity of shareholders loan facilities was extended to March 31, 2023. (in millions of Euros) Year ended December 31, 2017 Year ended December 31, 2016 Revenue 123 15 Cost of sales (151 ) (28 ) Selling and administrative expenses (14 ) (8 ) Loss from operations (42 ) (21 ) Finance costs (15 ) (6 ) Net loss (57 ) (27 ) The transactions during the year and the year-end (in millions of Euros) At December 31, 2017 At December 31, 2016 Trades receivables and other—current 15 10 Other financial assets (A) 83 66 Total Assets 98 76 (A) Other financial assets correspond to the loan to Constellium UACJ ABS LLC as of December 31, 2017 and 2016. As of December 31, 2017, the fair value of the loan is €97 million, which approximates the carrying value. The fair value is presented net of €14 million of Constellium’s share of losses of joint venture. (in millions of Euros) Year ended Year ended Revenue 59 13 Fees and recharges (B) 3 3 Finance income 6 4 Total Income 68 20 (B) Fees and recharges are presented in Cost of sales or Selling and administrative expenses depending on their nature. |
Summary of Guarantees and Commitments | Guarantees and commitments given to Constellium UACJ ABS LLC by the Group are: (in millions of euros) At December 31, 2017 At December 31, 2016 Financial guarantees 11 — Loan facility commitment — 15 Supplier guarantees 3 19 Total Guarantees and commitments 14 34 |
Deferred Income Taxes (Tables)
Deferred Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Deferred Income Tax | (in millions of Euros) At December 31, 2017 At December 31, 2016 Deferred income tax assets 164 252 Deferred income tax liabilities (25 ) (30 ) Net Deferred income tax assets 139 222 |
Significant Components of Deferred Tax Assets and Liabilities | The following tables show the changes in net deferred income tax assets / (liabilities) for the years ended December 31, 2017 and 2016. (in millions of Euros) At January 1, Recognized in Effect of change in Other At December 31, Profit or loss OCI Long-term assets (90 ) 5 — 9 — (76 ) Inventories 6 (2 ) — — — 4 Pensions 188 (39 ) (5 ) (14 ) — 130 Derivative valuation 13 (17 ) (15 ) (1 ) — (20 ) Tax losses carried forward 79 3 — (4 ) — 78 Other (A) 26 (3 ) — — — 23 Total deferred tax assets/(liabilities) 222 (54 ) (20 ) (9 ) — 139 (A) Mainly non-deductible For the year ended December 31, 2017, net deferred income tax assets declined primarily due to the US income tax rate decrease with €16 million through Profit or loss and for €8 million through Other Comprehensive Income. (in millions of Euros) At January 1, Recognized in Effect of change in Other At December 31, Profit or loss OCI Long-term assets (27 ) (59 ) — (4 ) — (90 ) Inventories 4 3 — — (1 ) 6 Pensions 193 (11 ) 2 4 — 188 Derivative valuation 27 (21 ) 9 — (2 ) 13 Tax losses carried forward 40 38 — 1 — 79 Other (A) 23 — — 1 2 26 Total deferred tax assets /(liabilities) 260 (50 ) 11 2 (1 ) 222 (A) Mainly non-deductible |
Components of Non Recognized Deferred Tax Assets | (in millions of Euros) At December 31, 2017 At December 31, 2016 Expiring in 2018 to 2021 (22 ) (13 ) Expiring in 2022 and after limited (143 ) (132 ) Unlimited (18 ) (19 ) Tax losses (183 ) (164 ) Long-term assets (116 ) (193 ) Pensions (20 ) (25 ) Other (37 ) (46 ) Deductible temporary differences (173 ) (264 ) Total (356 ) (428 ) |
Trade Payables and Other (Table
Trade Payables and Other (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Detailed Information about Trade Payables and Other | At December 31, 2017 At December 31, 2016 (in millions of Euros) Non-current Current Non-current Current Trade payables — 717 — 627 Fixed assets payables — 27 — 33 Employees’ entitlements — 159 — 141 Deferred revenue 34 10 40 14 Taxes payable other than income tax — 12 — 17 Other payables 20 5 19 7 Total Other 54 213 59 212 Total Trade payables and other 54 930 59 839 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
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Summary of Borrowings | (in millions of Euros) December 31, 2017 December 31, Nominal in Currency Nominal Effective Nominal in Euros (Arrangement Accrued Carrying Carrying Secured ABL (A) Ravenswood (due 2018) — Floating — — — — — 46 Muscle Shoals (due 2020) — Floating — — — — — — Pan US ABL (due 2022) $ 78 Floating 3.79 % 65 — — 65 — Secured Inventory Based Facility ( due 2019 (B) — Floating — — — — — — Senior Secured Notes Constellium N.V. (D) $ 425 7.88 % 8.94 % — — — — 401 Muscle Shoals (C) $ 650 8.75 % 7.45 % — — — — 635 Senior Unsecured Notes Constellium N.V. (Issued May 2014, due 2024) $ 400 5.75 % 6.26 % 334 (4 ) 2 332 377 Constellium N.V. (Issued May 2014, due 2021) € 300 4.63 % 5.16 % 300 (4 ) 2 298 298 Constellium N.V. (D) $ 400 8.00 % 8.61 % — — — — 387 Constellium N.V. (D) € 240 7.00 % 7.54 % — — — — 244 Constellium N.V. (C) $ 650 6.63 % 7.13 % 542 (13 ) 12 541 — Constellium N.V. (D) $ 500 5.88 % 6.26 % 417 (8 ) 4 413 — Constellium N.V. (D) € 400 4.25 % 4.57 % 400 (7 ) 2 395 — Other loans (including Finance leases) 82 — 1 83 80 Total Borrowings 2,140 (36 ) 23 2,127 2,468 Of which non-current 2,021 2,361 Of which current 106 107 Constellium N.V. Senior Notes are guaranteed by certain subsidiaries. (A) On June 21, 2017, Ravenswood and Muscle Shoals terminated their existing respective secured asset-based variable rate revolving credit facilities. The two entities entered into a pan US ABL consisting of a $300 million initial credit facility due 2022 and a $200 million committed accordion, at the company’s option, under certain conditions. (B) On April 21, 2017, two French entities entered into a new secured Revolving Credit Facility on inventory for €100 million due 2019. (C) On February 16, 2017, Constellium N.V. issued a $650 million principal amount of 6.625% Senior Notes due 2025. Deferred arrangement fees amounted to €14 million on the issuance date. The net proceeds of Constellium N.V. Senior Notes were used to repurchase the Muscle Shoals Senior Secured Notes due 2018. (D) On November 9, 2017, Constellium N.V. issued a $500 million principal amount of 5.875% Senior Notes due 2026 and €400 million principal amount of 4.25% Senior Notes due 2026. Deferred arrangement fees amounted to €15 million on the issuance date. The net proceeds of the Constellium N.V. Senior Notes were used to repurchase the Constellium N.V. Senior Secured Notes issued in March 2016, due 2021 and Constellium N.V. Senior Unsecured Notes issued in December 2014, due 2023. |
Summary of Reconciliation of Movement in Net Borrowings Explanatory | 20.2 Movements in borrowings (in millions of Euros) Year ended 2017 Year ended 2016 At January 1, 2,468 2,233 Cash flows Proceeds from issuance of Senior (A) (B) 1,440 375 Repayments of Senior Notes or PIK Toggle notes (B) (C) (D) (1,559 ) (148 ) Proceeds / (Repayments) from U.S. Revolving Credit Facilities and other loans 29 (69 ) Arrangement fees payment (29 ) (12 ) Finance lease repayment and others (13 ) (10 ) Non-cash Movement in interests accrued or capitalized (13 ) 15 New finance leases 17 16 Deferred arrangement fees and step-up 7 (10 ) Effects of changes in foreign exchange rates (220 ) 78 At December 31, 2,127 2,468 (A) The proceeds from the Senior Notes issued on November 9, 2017 represented €830 million, converted at the issuance date exchange rate of EUR/USD=1.1630. (B) The proceeds from the Senior Notes issued on February 16, 2017 represented €610 million, converted at the issuance date exchange rate of EUR/USD=1.0652. The repurchase of Muscle Shoals Senior Notes was completed on the same day for the same amount. (C) The redemption of Secured and Unsecured Notes on November 9, 2017 represented €949 million, converted at the redemption date exchange rate of EUR/USD=1.1630. (D) The redemption of PIK Toggle Notes on December 5, 2016 represented €148 million, converted at the redemption date exchange rate of EUR/USD=1.0702. |
Summary of Composition of Carrying Amounts of Total Borrowings | The composition of the carrying amounts of total borrowings in Euro equivalents is denominated in the currencies shown below: (in millions of Euros) At December 31, 2017 At December 31, 2016 U.S. Dollar 1,387 1,887 Euro 720 575 Other currencies 20 6 Total borrowings 2,127 2,468 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Financial Assets and Liabilities by Categories | 21.1 Financial assets and liabilities by categories At December 31, 2017 At December 31, 2016 (in millions of Euros) Notes Loans and At Fair At Fair Total Loans and At Fair At Fair Total Cash and cash equivalents 12 269 — — 269 347 — — 347 Trade receivables and Finance Lease receivables 13 318 — — 318 253 — — 253 Other financial assets 83 77 19 179 66 100 — 166 Total financial assets 670 77 19 766 666 100 — 766 At December 31, 2017 At December 31, 2016 (in millions of Euros) Notes At At Fair At Fair Total At At Fair At Fair Total Trade payables and fixed assets payables 19 744 — — 744 660 — — 660 Borrowings 20 2,127 — — 2,127 2,468 — — 2,468 Other financial liabilities — 66 — 66 — 37 27 64 Total financial liabilities 2,871 66 — 2,937 3,128 37 27 3,192 |
Summary of Other Financial Assets and Other Financial Liabilities Positions | The table below details other financial assets and other financial liabilities positions: At December 31, 2017 At December 31, 2016 (in millions of Euros) Non-current Current Total Non-current Current Total Derivatives 29 67 96 49 51 100 Aluminium and premium future contract 6 39 45 — 6 6 Energy future contract — — — — 4 4 Other future contract — 1 1 — — — Currency commercial contracts 21 20 41 2 11 13 Currency net debt derivatives 2 7 9 47 30 77 Loans (A) 81 2 83 — 66 66 Other financial assets 110 69 179 49 117 166 Derivatives 43 23 66 30 34 64 Aluminium and premium future contract — 6 6 4 5 9 Energy future contract — — — — — — Other future contract — 1 1 — 2 2 Currency commercial contracts 6 12 18 26 27 53 Currency net debt derivatives 37 4 41 — — — Other financial liabilities 43 23 66 30 34 64 (A) Corresponds to a loan facility to Constellium UACJ ABS LLC (See NOTE 17 – Investments accounted for under the equity method) |
Summary of Derivatives Measured at Fair Value | The following table provides an analysis of derivatives measured at fair value, grouped into levels based on the degree to which the fair value is observable: • Level 1 valuation is based on quoted price (unadjusted) in active markets for identical financial instruments, it includes aluminium futures that are traded on the LME; • Level 2 valuation is based on inputs other than quoted prices included within Level 1 that are observable for the assets or liabilities, either directly (i.e. prices) or indirectly (i.e. derived from prices), it includes foreign exchange derivatives; • Level 3 valuation is based on inputs for the asset or liability that are not based on observable market data (unobservable inputs). At December 31, 2017 At December 31, 2016 (in millions of Euros) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Other financial assets—derivatives 46 50 — 96 6 94 — 100 Other financial liabilities—derivatives 6 60 — 66 7 57 — 64 |
Financial Risk Management (Tabl
Financial Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Effect of Foreign Currency Derivatives Impacts in Consolidated Income Statement and Statement of Comprehensive Income/(Loss) | The table below details the effect of foreign currency derivatives in the Consolidated Income Statement and the Statement of Comprehensive Income/(Loss): (In millions of Euros) Notes Year ended Year ended Year ended Derivatives that do not qualify for hedge accounting Included in Other gains / (losses) – net Realized gains / (losses) on foreign currency derivatives—net 8 (19 ) (46 ) (37 ) Unrealized gains / (losses) on foreign currency derivatives—net (A) 8 16 40 (10 ) Derivatives that qualify for hedge accounting Included in Revenue Realized gain on foreign currency derivatives—net 8 1 — — Unrealized gain on foreign currency derivatives—net 8 1 — — Included in Other gains / (losses)—net Realized gains on foreign currency derivatives—net 8 3 — — Unrealized gains / (losses) on foreign currency derivatives—net 8 — — — Realized gain/(loss) in ineffective portion of derivatives — — — Included in Other Comprehensive Income / (Loss) Unrealized gains / (losses) on foreign currency derivatives—net 48 (27 ) — Gain/loss reclassified from cash flow hedge reserve to profit and loss (2 ) — — (A) Gains or losses on the hedging instruments are expected to offset losses or gains on the underlying hedged forecasted sales that will be reflected in future periods when these sales are recognized. |
Summary of Exposure to Financial Counterparties by Rating Type | The number of financial counterparties is tabulated below showing our exposure to the counterparty by rating type (Parent company ratings from Moody’s Investor Services): At December 31, 2017 At December 31, 2016 Number of financial (A) Exposure (in millions of Euros) Number of financial (A) Exposure (in millions of Euros) Rated Aa or better 3 52 3 13 Rated A 12 224 9 369 Rated Baa 3 19 3 16 Total 18 295 15 398 (A) Financial Counterparties for which the Group’s exposure is below €250 thousand have been excluded from the analysis. |
Summary of Undiscounted Contractual Values by Relevant Maturity Groupings | The tables below show undiscounted contractual values by relevant maturity groupings based on the remaining period from December 31, 2017 and December 31, 2016 to the contractual maturity date. At December 31, 2017 At December 31, 2016 (in millions of Euros) Less than Between 1 and 5 years Over 5 Less than Between 1 and 5 years Over 5 years Financial assets: Net debt derivatives 6 3 — 32 82 — Net cash flows from derivative assets related to currencies and commodities 59 15 — 22 3 — Total 65 18 — 54 85 — At December 31, 2017 At December 31, 2016 (in millions of Euros) Notes Less than 1 year Between 1 and 5 years Over 5 Less than 1 year Between 1 and 5 years Over 5 years Financial liabilities: Borrowings (A) 67 318 1,692 54 1,329 999 Interest 103 421 264 170 490 125 Net debt derivatives 3 10 — — — — Net cash flows from derivatives liabilities related to currencies and commodities 17 11 — 35 63 3 Trade payables and other (excluding deferred revenue) 19 920 20 — 825 19 — Total 1,110 780 1,956 1,084 1,901 1,127 (A) Borrowings include the pan US ABL facility which is considered short-term in nature and are included in the category “Less than 1 year” and undiscounted forecasted interest and exclude finance leases. |
Currency risk [member] | |
Summary of Nominal Value of Derivatives | The following tables outline the nominal value (converted in millions of Euros at the closing rate) of derivatives for Constellium’s most significant foreign exchange exposures as at December 31, 2017. Forward derivatives sales Maturity Period Less than 1 year Over 1 year USD/EUR 2018-2023 387 376 EUR/CHF 2018-2022 49 19 Other currencies 2018-2020 16 2 Forward derivatives purchases Maturity Period Less than 1 year Over 1 year USD/EUR 2018-2022 395 90 EUR/CHF 2018-2022 103 35 EUR/CZK 2018-2019 63 62 Other currencies 2018 1 — |
Summary of Effect of Foreign Currency Derivatives Impacts in Consolidated Income Statement | The table below details the effect of foreign currency derivatives in the Consolidated Income Statement (In millions of Euros) Year ended Year ended Derivatives Included in Finance Costs—net Realized gain / (loss) on foreign currency derivatives—net 31 15 Unrealized gain / (loss) on foreign currency derivatives—net (110 ) 30 Total (79 ) 45 |
Commodity price risk [member] | |
Summary of Nominal Value of Derivatives | At December 31, 2017, the nominal amount of commodity derivatives are as follows: (In millions of Euros) Maturity period Less than 1 year Over 1 year Aluminium 2018-2022 335 43 Premiums 2018-2021 5 7 Copper 2018 3 — Silver 2018 7 — Natural gas 2018 4 — Zinc 2018 10 — |
Summary of Effect of Foreign Currency Derivatives Impacts in Consolidated Income Statement | The Group does not apply hedge accounting on commodity derivatives and therefore any mark-to-market (In millions of Euros) Year ended Year ended Derivatives Included in Other gains / (losses)—net Realized gains / (losses) on commodity derivatives—net 16 (16 ) Unrealized gains / (losses) on commodity derivatives—net 41 31 |
Non-US [member] | |
Summary of Impact on Profit and Equity (before tax effect) of a 10 % strengthening of the US Dollar versus the Euro | The largest exposures of the Group are related to the Euro/Dollar exchange rate. The table below summarizes the impact on profit and Equity (before tax effect) of a 10 % strengthening of the U.S. Dollar versus the Euro for non U.S. Dollar functional currency entities. (in millions of Euros) Effect on profit before tax Effect on pretax equity Trade receivables 5 — Trade payables (1 ) — Derivatives on commercial transaction (A) 14 (43 ) Commercial transaction exposure 18 (43 ) Cash in Bank and intercompany loans 103 — Borrowings (144 ) — Derivatives on financing transaction 41 — Financing transaction exposure — — Total 18 (43 ) (A) Gains or losses on the hedging instruments are expected to offset losses or gains on the underlying hedged forecasted sales that will be reflected in future periods when these sales are recognized. The impact on pretax equity (€43 million) relates to derivatives hedging future sales spread from 2018 to 2022 which are designated as cash flow hedges. |
U.S. Dollar [member] | |
Summary of Impact on Profit and Equity (before tax effect) of a 10 % strengthening of the US Dollar versus the Euro | The table below summarizes the impact on profit and Equity (before tax effect) of a 10 % strengthening of the US Dollar versus the Euro (on average rate for profit before tax and closing rate for pretax equity) for US Dollar functional currency entities. (in millions of Euros) Effect on profit before tax Effect on pretax equity 10% strengthening US Dollar/Euro (8 ) 11 |
Pensions and Other Post-emplo60
Pensions and Other Post-employment Benefit Obligations (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of Actuarial Assumptions | The principal actuarial assumptions used at December 31, 2017 and 2016 were as follows: At December 31, 2017 At December 31, 2016 Rate of increase in Rate of increase Discount rate Rate of increase Rate of increase Discount rate Switzerland 1.50% — 0.65% 1.65% — 0.60% U.S. — — — 3.80% — — Hourly pension 2.20% — 3.70%-3.75% — — 4.30%-4.35% Salaried pension 3.80% — 3.80% — — 4.45% OPEB (A) 3.80% — 3.70%-3.85% — — 4.20%-4.60% Other benefits 3.80% — 3.60%-3.70% — — 4.05%-4.20% France 1.50%-1.75% 2.00% — 1.50%-1.75% 2.00% — Retirements — — 1.50% — — 1.60% Other benefits — — 1.20% — — 1.30% Germany 2.75% 1.70% 1.60% 2.75% 1.70% 1.65% (A) The other main financial assumptions used for the OPEB (healthcare plans, which are predominantly in the U.S.) were: - Medical trend rate: pre 65: 7.00% starting in 2018 decreasing gradually to 4.50% until 2026 and stable onwards and post 65: 6.00% starting in 2018 decreasing gradually to 4.50% until 2026 and stable onwards, and - Claims costs are based on individual company experience. |
Summary of Amounts Recognized in the Consolidated Statement of Financial Position | Amounts recognized in the Consolidated Statement of Financial Position At December 31, 2017 At December 31, 2016 (in millions of Euros) Pension Other Total Pension Other Total Present value of funded obligation 691 — 691 721 — 721 Fair value of plan assets (387 ) — (387 ) (391 ) — (391 ) Deficit of funded plans 304 — 304 330 — 330 Present value of unfunded obligation 110 250 360 132 273 405 Net liability arising from defined benefit obligation 414 250 664 462 273 735 |
Details of Movement in Net Defined Benefit Obligations | Movement in net defined benefit obligations At December 31, 2017 Defined benefit obligations Plan Net defined (In millions of Euros) Pension Other Total At January 1, 2017 853 273 1,126 (391 ) 735 Included the Consolidated Income Statement Current service cost 18 6 24 — 24 Interest cost / (income) 18 9 27 (9 ) 18 Past service cost (16 ) (4 ) (20 ) — (20 ) Immediate recognition of gains arising over the period — — — — — Administration expenses — — — 2 2 Included in the Statement of Comprehensive Income / (Loss) Remeasurements due to: —actual return less interest on plan assets — — — (36 ) (36 ) —changes in financial assumptions 23 14 37 — 37 —changes in demographic assumptions — (1 ) (1 ) — (1 ) —experience (gains)/losses — — — — — Effects of changes in foreign exchange rates (61 ) (29 ) (90 ) 42 (48 ) Included in the Consolidated Statement of Cash Flows Benefits paid (38 ) (18 ) (56 ) 33 (23 ) Contributions by the Group — — — (24 ) (24 ) Contributions by the plan participants 4 — 4 (4 ) — At December 31, 2017 801 250 1,051 (387 ) 664 At December 31, 2016 Defined benefit obligations Plan Net defined (In millions of Euros) Pension Other Total At January 1, 2016 802 261 1,063 (362 ) 701 Included in the Consolidated Income Statement Current service cost 20 6 26 — 26 Interest cost / (income) 21 10 31 (10 ) 21 Past service cost — 1 1 — 1 Immediate recognition of losses arising over the period — 1 1 — 1 Administration expenses — — — 2 2 Included in the Statement of Comprehensive Income / (Loss) Remeasurements due to: —actual return less interest on plan assets — — — (14 ) (14 ) —changes in financial assumptions 28 6 34 — 34 —changes in demographic assumptions 2 (3 ) (1 ) — (1 ) —experience (gains)/losses 1 (4 ) (3 ) — (3 ) Effects of changes in foreign exchange rates 12 8 20 (8 ) 12 Included in the Consolidated Statement of Cash Flows Benefits paid (37 ) (17 ) (54 ) 32 (22 ) Contributions by the Group — — — (26 ) (26 ) Contributions by the plan participants 4 1 5 (5 ) — Other Transfer — 3 3 — 3 At December 31, 2016 853 273 1,126 (391 ) 735 |
Details of Net Defined Benefit Obligations by Country | Net defined benefit obligations by country At December 31, 2017 At December 31, 2016 (in millions of Euros) Defined Plan assets Net defined Defined Plan assets Net defined France 148 (3 ) 145 144 — 144 Germany 142 (1 ) 141 147 (1 ) 146 Switzerland 251 (177 ) 74 284 (181 ) 103 United States 509 (206 ) 303 550 (209 ) 341 Other countries 1 — 1 1 — 1 Total 1,051 (387 ) 664 1,126 (391 ) 735 |
Details of Plan Asset Categories | Plan asset categories At December 31, 2017 At December 31, 2016 (in millions of Euros) Quoted in Unquoted in Total Quoted in Unquoted in Total Cash and cash equivalents 3 — 3 4 — 4 Equities 160 — 160 158 — 158 Bonds 81 93 174 82 96 178 Property 8 29 37 10 31 41 Other 5 8 13 5 5 10 Total fair value of plan assets 257 130 387 259 132 391 |
Summary of Benefits Payments Expected Paid Either by Pension Funds or Directly to Beneficiaries | Benefits payments expected to be paid either by pension funds or directly by the Company to beneficiaries over the next years are as follows: (in millions of Euros) Estimated benefits payments Year ended December 31, 2018 52 2019 52 2020 52 2021 55 2022 56 2023 to 2027 286 |
Actuarial assumption of discount rates [member] | |
Summary of Actuarial Assumptions | At December 31, 2017, impacts of the change on the defined benefit obligation of a 0.50% increase / decrease in the discount rates are calculated by using a proxy based on the duration of each scheme: 0.50% increase in 0.50% decrease in (in millions of Euros) France (9 ) 10 Germany (9 ) 10 Switzerland (20 ) 23 United States (30 ) 33 Total sensitivity on Defined Benefit Obligations (68 ) 76 |
Provisions (Tables)
Provisions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Changes in Provisions | (in millions of Euros) Close down and Restructuring Legal claims Total At January 1, 2017 88 5 56 149 Allowance 3 3 19 25 Amounts used (2 ) (2 ) (3 ) (7 ) Unused amounts reversed — (1 ) (4 ) (5 ) Unwinding of discounts (1 ) — — (1 ) Effects of changes in foreign exchange rates (7 ) — (1 ) (8 ) At December 31, 2017 81 5 67 153 Current 4 3 33 40 Non-Current 77 2 34 113 Total provisions 81 5 67 153 (in millions of Euros) Close down and Restructuring Legal claims Total At January 1, 2016 88 8 67 163 Allowance — 6 7 13 Amounts used (2 ) (5 ) (4 ) (11 ) Unused amounts reversed (1 ) (1 ) (14 ) (16 ) Unwinding of discounts 1 — — 1 Reclassified to Pension liabilities — (3 ) — (3 ) Effects of changes in foreign exchange rates 2 — — 2 At December 31, 2016 88 5 56 149 Current 3 3 36 42 Non-Current 85 2 20 107 Total provisions 88 5 56 149 |
Summary of Legal Claims and Other Costs | Legal claims and other costs (in millions of Euros) At December 31, 2017 At December 31, 2016 Maintenance and customer related provisions (A) 25 14 Litigation (B) 36 35 Disease claims (C) 3 4 Other 3 3 Total provisions for legal claims and other costs 67 56 (A) These provisions include €3 million in 2017 (€3 million in 2016) related to general equipment maintenance, mainly linked to the Group leases. These provisions also include €16 million in 2017 (€7 million in 2016) related to customer litigation, product warranties and guarantees and €6 million in 2017 (€4 million in 2016) related to late delivery penalties. These provisions are expected to be used over the next five years. (B) The Group is involved in litigation and other proceedings, such as civil, commercial and tax proceedings, incidental to normal operations. It is not anticipated that the resolution of such litigation and proceedings will have a material effect on the future results, financial position, or cash flows of the Group. (C) Since the early 1990s, certain activities of the Group’s businesses have been subject to claims and lawsuits in France relating to occupational diseases resulting from alleged asbestos exposure, such as mesothelioma and asbestosis. It is not uncommon for the investigation and resolution of such claims to go on over many years as the latency period for acquiring such diseases is typically between 25 and 40 years. For any such claim, it is up to the social security authorities in each jurisdiction to determine if a claim qualifies as an occupational illness claim. If so determined, the Group must settle the case or defend its position in court. At December 31, 2017, 7 cases in which gross negligence is alleged (“ faute inexcusable |
Share Capital (Tables)
Share Capital (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Schedule of Share Capital | In millions of Euros Number of shares Share capital Share premium At January 1, 2017 105,581,673 2 162 New shares issued (A) 28,928,950 1 258 At December 31, 2017 (B) 134,510,623 3 420 (A) Constellium N.V. issued and granted 125,000 Class A ordinary shares to certain employees and 53,950 Class A ordinary shares to its Board members. (See NOTE 28- On November 3 rd (B) Constellium N.V. holds 38,597 Class A ordinary shares at December 31, 2017. |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Non Cancellable Operating Leases Commitments | The future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2017 At December 31, 2016 Less than 1 year 19 17 1 to 5 years 49 40 More than 5 years 40 48 Total non-cancellable 108 105 |
Summary of Capital Expenditures Commitments | Capital expenditures commitments (in millions of Euros) At December 31, 2017 At December 31, 2016 Computer Software 2 3 Property, plant and equipment 99 85 Total capital expenditure commitments 101 88 |
Related Parties (Tables)
Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Key Management Personnel Compensation | As a result, the aggregate compensation for the Group’s key management is comprised of the following: (in millions of Euros) Year ended Year ended Year ended Short term employee benefits 8 10 8 Directors’ fees 1 1 1 Share-based compensation 4 2 2 Post-employments benefits — — 1 Termination benefits 1 1 1 Employer social contribution 1 2 1 Total 15 16 14 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Performance-Based RSU | The following table lists the inputs to the model used for the PSUs granted in 2017 and 2016: Year ended December 31, 2017 Year ended December 31, 2016 Fair value at grant date (in Euros) 11.52 [6.76 – 9.86] Share price at grant date (in Euros) 7.50 [4.46 – 5.61] Dividend yield — — Expected volatility 75% [69% – 71%] Risk-free interest rate (U.S. government bond yield) 1.51% [0.76% – 1.27%] Model used Monte Carlo Monte Carlo |
Summary of Weighted-Average Fair Value | The following table illustrates the number, weighted-average fair value of, and movements in shares during the year: Performance-Based RSU Restricted Stock Units Equity Award Plans Potential Weighted-Average Potential Weighted-Average Potential Weighted-Average At January 1, 2016 1,007,000 € 7.77 269,500 € 16.10 34,865 € 14.11 Granted (A) 1,292,000 € 7.56 340,300 € 5.40 81,858 € 4.02 Over-performance (B) 47,229 € 7.10 — — — — Vested — — (87,300 ) € 19.75 (21,842 ) € 15.84 Forfeited (C) (279,394 ) € 8.71 (43,000 ) € 16.40 — — At December 31, 2016 2,066,835 € 7.50 479,500 € 7.82 94,881 € 5.01 Granted (A) 892,781 € 11.52 703,180 € 7.50 54,409 € 6.09 Over-performance (B) 552,728 € 7.63 — — — — Vested — — (125,000 ) € 7.02 (53,950 ) € 5.76 Forfeited (C) (254,504 ) € 8.29 (113,180 ) € 7.27 — — At December 31, 2017 3,257,840 € 8.56 944,500 € 7.76 95,340 € 5.20 (A) For PSUs, the number of potential shares granted is presented using a vesting multiplier of 100%. (B) When the achievement of TSR performance exceeds the vesting multiplier of 100%, the additional potential shares are presented as over-performance shares. (C) For potential shares related to PSUs, 175,837 were forfeited following the departure of certain beneficiaries and 78,667 were forfeited in relation to the non-fulfilment of performance conditions. |
Subsidiaries and Operating Se66
Subsidiaries and Operating Segments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Summary of Group's Affiliates are Included in Consolidated Financial Statements | The following Group’s affiliates are legal entities included in the consolidated financial statements of the Group at December 31, 2017. Entity Country % Group Interest Consolidation Cross Operating Segment Constellium Singen GmbH (AS&I and P&ARP) Germany 100 % Full Constellium Valais S.A. (AS&I and A&T) Switzerland 100 % Full AS&I Constellium Automotive USA, LLC U.S. 100 % Full Constellium Engley (Changchun) Automotive China 54 % Full Constellium Extrusions Decin S.r.o. Czech Republic 100 % Full Constellium Extrusions Deutschland GmbH Germany 100 % Full Constellium Extrusions Landau GmbH Germany 100 % Full Constellium Extrusions Burg GmbH Germany 100 % Full Constellium Extrusions France S.A.S. France 100 % Full Constellium Extrusions Levice S.r.o. Slovakia 100 % Full Constellium Automotive Mexico, S. DE R.L. DE C.V. Mexico 100 % Full Constellium Automotive Mexico Mexico 100 % Full Astrex Inc Canada 50 % Full Constellium Automotive Zilina S.r.o. Slovakia 100 % Full A&T Constellium Issoire France 100 % Full Constellium Montreuil Juigné France 100 % Full Constellium China China 100 % Full Constellium Italy S.p.A Italy 100 % Full Constellium Japan KK Japan 100 % Full Constellium Rolled Products Ravenswood, LLC U.S. 100 % Full Constellium Southeast Asia PTE LTD Singapore 100 % Full Constellium Ussel S.A.S. France 100 % Full P&ARP Constellium Deutschland GmbH Germany 100 % Full Constellium Rolled Products Singen GmbH KG Germany 100 % Full Constellium Property and Equipment Company, LLC U.S. 100 % Full Constellium Neuf Brisach France 100 % Full Wise Metals Group LLC U.S. 100 % Full Wise Alloys, LLC U.S. 100 % Full Wise Alloys Funding LLC U.S. 100 % Full Wise Alloys Funding II LLC U.S. 100 % Full Listerhill Total Maintenance Center LLC U.S. 100 % Full Constellium Metal Procurement LLC U.S. 100 % Full Constellium-UACJ ABS LLC U.S. 51 % Equity Rhenaroll France 50 % Equity Holdings & Corporate C-TEC France 100 % Full Constellium Finance S.A.S. France 100 % Full Constellium France III France 100 % Full Constellium France Holdco S.A.S. France 100 % Full Constellium International France 100 % Full Constellium Paris S.A.S France 100 % Full Constellium Germany Holdco GmbH & Co. KG Germany 100 % Full Constellium Germany Verwaltungs GmbH Germany 100 % Full Constellium Holdco II B.V. Netherlands 100 % Full Constellium UK Limited United Kingdom 100 % Full Constellium U.S. Holdings I, LLC U.S. 100 % Full Constellium Switzerland AG Switzerland 100 % Full Constellium W S.A.S. France 100 % Full Constellium Treuhand UG Germany 100 % Full Engineered Products International S.A.S. France 100 % Full |
Parent Company (Tables)
Parent Company (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Text block1 [abstract] | |
Statement of Financial Position of Constellium N.V. (Parent Company Only) | Statement of Financial Position of Constellium N.V. (parent company only) (in millions of Euros) At December 31, 2017 At December 31, 2016 Assets Current assets Cash and cash equivalents — — Trade receivables and other 53 233 Other financial assets 28 33 81 266 Non-current Property, plant and equipment — — Financial assets 2,143 1,508 Investments in subsidiaries 131 111 2,274 1,619 Total Assets 2,355 1,885 Liabilities Current liabilities Trade payables and other 6 3 Other financial liabilities 22 35 28 38 Non-current Borrowings 1,957 1,673 1,957 1,673 Total Liabilities 1,985 1,711 Equity Share capital 3 2 Share premium 429 171 Accumulated retained earnings (17 ) (11 ) Other reserves 25 18 Net (loss) for the year (70 ) (6 ) Total Equity 370 174 Total Equity and Liabilities 2,355 1,885 |
Statement of Financial Position of Constellium N.V. (Parent Company Only) | Statement of Comprehensive Income / (Loss) of Constellium N.V. (parent company only) (in millions of Euros) Year ended December 31, 2017 Year ended December 31, 2016 Year ended December 31, 2015 Revenue 1 1 — Gross profit 1 1 — Selling and administrative expenses (5 ) (8 ) (7 ) Employee benefit expenses (1 ) — — Loss from recurring operations (5 ) (7 ) (7 ) Other income — — 1 Other expenses — — (3 ) Loss from operations (5 ) (7 ) (9 ) Financial result—net (65 ) 1 9 Loss before income tax (70 ) (6 ) — Income tax — — — Net loss (70 ) (6 ) — Other comprehensive income — — — Total comprehensive loss (70 ) (6 ) — |
Statement of Cash Flows of Constellium N.V. (Parent Company Only) | Statement of Cash Flows of Constellium N.V. (parent company only) (in millions of Euros) Year ended Year ended Year ended Net loss (70 ) (6 ) — Adjustments Finance costs—net 65 (1 ) (9 ) Dividend received — — — Interest paid (148 ) (95 ) (61 ) Interest received 149 103 74 Changes in working capital: Trade receivables and other (1 ) — 26 Other financial liabilities — — (1 ) Trade payables and other 2 (1 ) (44 ) Net cash flows used in operating activities (3 ) — (15 ) Investments in subsidiaries (11 ) — — Current account with subsidiary (for cash pooling) 180 (186 ) 17 Loans granted to subsidiary and related parties (1,640 ) (375 ) — Repayment of loans granted to subsidiary and related parties 823 181 — Exit fees received from Subsidiaries 9 — — Net cash flows (used in)/ from investing activities (639 ) (380 ) 17 Net proceeds received from issuance of shares 259 — — Proceeds from issuance of Senior Notes 1,440 375 — Payment of deferred financing costs (29 ) (12 ) (2 ) Repayment of Senior Notes (949 ) — — Payment of exit fees (61 ) — — Realized foreign exchange gains / (losses) (17 ) 17 — Other (1 ) — — Net cash flows from / (used in) financing activities 642 380 (2 ) Net increase in cash and cash equivalents — — — Cash and cash equivalents—beginning of period — — — Effect of exchange rate changes on cash and cash equivalents — — — Cash and cash equivalents—end of period — — — |
General Information - Additiona
General Information - Additional Information (Detail) | Dec. 31, 2017EmployeesFacilitysiteCenter |
Disclosure of general information [abstract] | |
Number of production facilities | Facility | 23 |
Number of administrative and commercial sites | site | 10 |
Number of world-class technology centers | Center | 2 |
Number of employees | Employees | 12,000 |
Summary of Significant Accoun69
Summary of Significant Accounting Policies - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Summary of significant accounting policies [line items] | |
Business combination description | Recognized assets and liabilities may be adjusted during a maximum of 12 months from the acquisition date, depending on new information obtained about the facts and circumstances existing at the acquisition date. |
Technology [member] | |
Summary of significant accounting policies [line items] | |
Intangible assets amortized estimated useful life | 20 years |
Customer relationships [member] | |
Summary of significant accounting policies [line items] | |
Intangible assets amortized estimated useful life | 25 years |
Bottom of range [member] | Computer software [member] | |
Summary of significant accounting policies [line items] | |
Intangible assets amortized estimated useful life | 3 years |
Bottom of range [member] | Buildings [member] | |
Summary of significant accounting policies [line items] | |
Property, plant and equipment, useful life | 10 years |
Bottom of range [member] | Machinery and equipment [member] | |
Summary of significant accounting policies [line items] | |
Property, plant and equipment, useful life | 3 years |
Bottom of range [member] | Vehicles [member] | |
Summary of significant accounting policies [line items] | |
Property, plant and equipment, useful life | 5 years |
Top of range [member] | Computer software [member] | |
Summary of significant accounting policies [line items] | |
Intangible assets amortized estimated useful life | 5 years |
Top of range [member] | Buildings [member] | |
Summary of significant accounting policies [line items] | |
Property, plant and equipment, useful life | 50 years |
Top of range [member] | Machinery and equipment [member] | |
Summary of significant accounting policies [line items] | |
Property, plant and equipment, useful life | 40 years |
Top of range [member] | Vehicles [member] | |
Summary of significant accounting policies [line items] | |
Property, plant and equipment, useful life | 8 years |
Summary Of Significant Accoun70
Summary Of Significant Accounting Policies - Disclosure of Foreign Exchange Rates (Detail) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
U.S. Dollar [member] | |||
Disclosure of foreign exchange rates [line items] | |||
Average rate | 1.1273 | 1.1063 | 1.1089 |
Closing rate | 1.1993 | 1.0541 | 1.0887 |
Swiss Franc [member] | |||
Disclosure of foreign exchange rates [line items] | |||
Average rate | 1.1103 | 1.0901 | 1.0669 |
Closing rate | 1.1702 | 1.0739 | 1.0835 |
Czech Republic, Koruny [member] | |||
Disclosure of foreign exchange rates [line items] | |||
Average rate | 26.3151 | 27.0342 | 27.2762 |
Closing rate | 25.5349 | 27.0210 | 27.0226 |
Operating Segment Information -
Operating Segment Information - Additional Information (Detail) € in Millions | 12 Months Ended | ||
Dec. 31, 2017EUR (€)EmployeesFacility | Dec. 31, 2016EUR (€) | Dec. 31, 2015EUR (€) | |
Disclosure of operating segments [line items] | |||
Number of employees | 12,000 | ||
Information about major customers | No other single customer contributed 10% or more to the Group's revenue for 2017, 2016 and 2015. | ||
P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Number of facilities | Facility | 4 | ||
Number of employees | 3,657 | ||
Revenue from two largest customers | € | € 1,364 | € 1,220 | € 1,318 |
A&T [member] | |||
Disclosure of operating segments [line items] | |||
Number of facilities | Facility | 6 | ||
Number of employees | 4,008 | ||
AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Number of facilities | Facility | 15 | ||
Number of employees | 3,988 |
Operating Segment Information72
Operating Segment Information - Summary of Segment Revenue (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of operating segments [line items] | |||
Revenue | € 5,237 | € 4,743 | € 5,153 |
P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 2,805 | 2,482 | 2,742 |
A&T [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,301 | 1,279 | 1,348 |
AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,118 | 993 | 1,034 |
Holdings & Corporate [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 13 | (11) | 29 |
Segment [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 5,283 | 4,791 | 5,179 |
Segment [member] | P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 2,812 | 2,498 | 2,748 |
Segment [member] | A&T [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,335 | 1,302 | 1,355 |
Segment [member] | AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,123 | 1,002 | 1,047 |
Segment [member] | Holdings & Corporate [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 13 | (11) | 29 |
Inter segment [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | (46) | (48) | (26) |
Inter segment [member] | P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | (7) | (16) | (6) |
Inter segment [member] | A&T [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | (34) | (23) | (7) |
Inter segment [member] | AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | € (5) | € (9) | € (13) |
Operating Segment Information73
Operating Segment Information - Summary of Segment Revenue (Parenthetical) (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2016EUR (€) | |
Holdings & Corporate [member] | |
Disclosure of operating segments [line items] | |
One-time payment related to the re-negotiation of contract with customer | € 20 |
Operating Segment Information74
Operating Segment Information - Summary of Segment adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | € 431 | € 377 | € 343 |
Metal price lag | 22 | 4 | (34) |
Start-up and development costs | (17) | (25) | (21) |
Manufacturing system and process transformation costs | (2) | (5) | (11) |
Wise integration and acquisition costs | (2) | (14) | |
Wise one-time costs | (20) | (38) | |
Wise purchase price adjustment | 20 | ||
Share based compensation costs | (8) | (6) | (7) |
Gains / (Losses) on pension plan amendments | 20 | (5) | |
Depreciation and amortization | (171) | (155) | (140) |
Impairment | (457) | ||
Restructuring costs | (4) | (5) | (8) |
Unrealized gains on derivatives | 57 | 71 | (20) |
Unrealized exchange (losses) /gains from the remeasurement of monetary assets and liabilities - net | (4) | 3 | (3) |
Losses on disposals | (3) | (10) | (5) |
Other | (1) | (6) | |
Income / (loss) from operations | 321 | 246 | (426) |
Finance costs - net | (243) | (167) | (155) |
Share of loss of joint-ventures | (29) | (14) | (3) |
Income / (Loss) before income tax | 49 | 65 | (584) |
Income tax (expense) / benefit | (80) | (69) | 32 |
Net loss | (31) | (4) | (552) |
P&ARP [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | 202 | 201 | 183 |
A&T [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | 133 | 103 | 103 |
Holdings & Corporate [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | (23) | (29) | (23) |
AS&I [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | 119 | € 102 | € 80 |
Start-up and development costs | € (16) |
Operating Segment Information75
Operating Segment Information - Summary of Segment adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (Parenthetical) (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Start-up costs and development cost | € (17) | € (25) | € (21) |
Wise one-time cost | (20) | (38) | |
Cash received from Wise purchase price adjustment | 21 | ||
Wise purchase price adjustment | 20 | ||
Gains / (Losses) on pension plan amendments | 20 | € (5) | |
Automotive Body Sheet Growth Projects [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Start-up costs and development cost | € (20) | ||
AS&I [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Start-up costs and development cost | (16) | ||
Collective Bargaining agreement renegotiation [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Legal fees and lump-sum payments | € 3 | ||
Collective bargaining agreement term | 5 years |
Operating Segment Information76
Operating Segment Information - Summary of Revenue by Product Lines (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of products and services [line items] | |||
Revenue | € 5,237 | € 4,743 | € 5,153 |
Packaging rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 2,146 | 2,003 | 2,205 |
Automotive rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 483 | 319 | 275 |
Specialty and other thin-rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 176 | 160 | 262 |
Aerospace rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 760 | 795 | 861 |
Transportation, Industry and other rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 541 | 484 | 487 |
Automotive extruded products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 614 | 537 | 544 |
Other extruded products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 504 | 456 | 490 |
Other [member] | |||
Disclosure of products and services [line items] | |||
Revenue | € 13 | € (11) | € 29 |
Operating Segment Information77
Operating Segment Information - Summary of Segment Capital Expenditures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of segment capital expenditures [line items] | |||
Segment capital expenditures | € (276) | € (355) | € (350) |
P&ARP [member] | |||
Disclosure of segment capital expenditures [line items] | |||
Segment capital expenditures | (115) | (166) | (170) |
A&T [member] | |||
Disclosure of segment capital expenditures [line items] | |||
Segment capital expenditures | (73) | (96) | (112) |
AS&I [member] | |||
Disclosure of segment capital expenditures [line items] | |||
Segment capital expenditures | (83) | (84) | (60) |
Holdings & Corporate [member] | |||
Disclosure of segment capital expenditures [line items] | |||
Segment capital expenditures | € (5) | € (9) | € (8) |
Operating Segment Information78
Operating Segment Information - Summary of Segment Assets (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Disclosure of segment assets [line items] | ||||
Total Assets | € 3,711 | € 3,787 | ||
Deferred income tax assets | 164 | 252 | ||
Cash and cash equivalents | 269 | 347 | € 472 | € 991 |
Other financial assets | 179 | 166 | ||
Segment [member] | ||||
Disclosure of segment assets [line items] | ||||
Total Assets | 3,099 | 3,022 | ||
Segment [member] | P&ARP [member] | ||||
Disclosure of segment assets [line items] | ||||
Total Assets | 1,629 | 1,652 | ||
Segment [member] | A&T [member] | ||||
Disclosure of segment assets [line items] | ||||
Total Assets | 769 | 768 | ||
Segment [member] | AS&I [member] | ||||
Disclosure of segment assets [line items] | ||||
Total Assets | 449 | 390 | ||
Segment [member] | Holdings & Corporate [member] | ||||
Disclosure of segment assets [line items] | ||||
Total Assets | 252 | 212 | ||
Unallocated amounts [member] | ||||
Disclosure of segment assets [line items] | ||||
Deferred income tax assets | 164 | 252 | ||
Cash and cash equivalents | 269 | 347 | ||
Other financial assets | € 179 | € 166 |
Information by Geographic Are79
Information by Geographic Area - Summary of Revenue Reported Based on Destination of Shipments (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of geographical areas [line items] | |||
Revenue | € 5,237 | € 4,743 | € 5,153 |
France [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 557 | 493 | 564 |
Germany [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 1,217 | 1,042 | 1,112 |
United Kingdom [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 188 | 203 | 243 |
Switzerland [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 123 | 86 | 72 |
Other Europe [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 940 | 798 | 849 |
United States [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 1,691 | 1,511 | 1,677 |
Canada [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 78 | 68 | 91 |
Asia and Other Pacific [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 270 | 292 | 266 |
Other countries [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | € 173 | € 250 | € 279 |
Information by Geographic Are80
Information by Geographic Area - Summary of Physical Location of Property, Plant and Equipment (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of property plant and equipment reported based on physical location of assets [line items] | |||
Property, plant and equipment | € 1,517 | € 1,477 | € 1,255 |
United States [member] | |||
Disclosure of property plant and equipment reported based on physical location of assets [line items] | |||
Property, plant and equipment | 681 | 729 | |
France [member] | |||
Disclosure of property plant and equipment reported based on physical location of assets [line items] | |||
Property, plant and equipment | 586 | 543 | |
Germany [member] | |||
Disclosure of property plant and equipment reported based on physical location of assets [line items] | |||
Property, plant and equipment | 156 | 134 | |
Czech Republic [member] | |||
Disclosure of property plant and equipment reported based on physical location of assets [line items] | |||
Property, plant and equipment | 65 | 45 | |
Other countries [member] | |||
Disclosure of property plant and equipment reported based on physical location of assets [line items] | |||
Property, plant and equipment | € 29 | € 26 |
Expenses by Nature - Summary of
Expenses by Nature - Summary of Information about Expenses by Nature (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of detailed information about expenses by nature [abstract] | |||
Raw materials and consumables used | € (3,197) | € (2,792) | € (3,176) |
Employee benefit expenses | (924) | (897) | (887) |
Energy costs | (138) | (140) | (168) |
Sub-contractors | (99) | (108) | (86) |
Freight out costs | (124) | (128) | (130) |
Professional fees | (77) | (85) | (75) |
Operating lease expenses | (27) | (27) | (29) |
Depreciation and amortization | (171) | (155) | (140) |
Impairment | (457) | ||
Other operating expenses | (229) | (186) | (300) |
Other gains / (losses)-net | 70 | 21 | (131) |
Total Operating expenses | € (4,916) | € (4,497) | € (5,579) |
Employee Benefit Expenses - Sum
Employee Benefit Expenses - Summary of Employee Benefit Expenses (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Classes of employee benefits expense [abstract] | |||
Wages and salaries | € (872) | € (841) | € (836) |
Pension costs - defined benefit plans | (28) | (33) | (31) |
Other post-employment benefits | (16) | (17) | (15) |
Share-based compensation | (8) | (6) | (5) |
Total Employee benefit expenses | € (924) | € (897) | € (887) |
Other Gains _ (Losses) - Net -
Other Gains / (Losses) - Net - Summary of Other Gains/(Losses) Net (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Analysis of other gains losses [line items] | |||
Realized gains/(losses) on derivatives | € (62) | € (93) | |
Unrealized gains / (losses) on derivatives at fair value through profit and loss-net | € 57 | 71 | (20) |
Unrealized exchange (losses) /gains from the remeasurement of monetary assets and liabilities-net | (4) | 3 | (3) |
Gains / (Losses) on pension plan amendments | 20 | (5) | |
Losses on disposal | (3) | (10) | (5) |
Wise purchase price adjustment | 20 | ||
Wise acquisition costs | (5) | ||
Other | (1) | ||
Total other gains / (losses)-net | € 70 | 21 | € (131) |
Wise Metals Intermediate Holdings LLC [member] | |||
Analysis of other gains losses [line items] | |||
Wise purchase price adjustment | € 20 |
Other Gains _ (Losses) - Net 84
Other Gains / (Losses) - Net - Summary of Other Gains/(Losses) Net (Parenthetical) (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2016EUR (€) | |
Analysis of income and expense [abstract] | |
Cash payment received on acquisition | € 21 |
Gain net of costs on acquisition | € 20 |
Currency Gains _ (Losses) - Sum
Currency Gains / (Losses) - Summary of Currency Gains and Losses Included in Income from Operations (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Analysis of income and expense [line items] | |||
Currency gains /(losses) | € (6) | € 1 | € (37) |
Realized exchange losses on foreign currency derivatives-net | (15) | (46) | (37) |
Unrealized gains /(losses) on foreign currency derivatives-net | 17 | 40 | (10) |
Exchanges (losses)/gains from the remeasurement of monetary assets and liabilities-net | (8) | 7 | 10 |
Revenue [member] | |||
Analysis of income and expense [line items] | |||
Currency gains /(losses) | 2 | ||
Cost of sales. | |||
Analysis of income and expense [line items] | |||
Currency gains /(losses) | (4) | 4 | 13 |
Other gains / (losses - net [member] | |||
Analysis of income and expense [line items] | |||
Currency gains /(losses) | € (4) | € (3) | € (50) |
Currency Gains _ (Losses) - S86
Currency Gains / (Losses) - Summary of Foreign Currency Translation Reserve (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Movement in foreign currency translation reserve [abstract] | ||
Foreign currency translation reserve at January 1 | € 12 | € 6 |
Effect of currency translation differences-net | (19) | 6 |
Foreign currency translation reserve at December 31 | € (7) | € 12 |
Finance Costs-Net - Summary of
Finance Costs-Net - Summary of Finance Costs - Net (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Analysis of income and expense [abstract] | |||
Interest received | € 7 | € 5 | € 1 |
Finance income | 7 | 5 | 1 |
Interest expense on borrowings paid or payable | (147) | (171) | (149) |
Expenses on factoring arrangements paid or payable | (16) | (12) | (11) |
Net loss on settlement of debt | (91) | (4) | |
Realized and unrealized (losses) / gains on debt derivatives at fair value | (79) | 45 | 50 |
Realized and unrealized exchange gains / (losses) on financing activities-net | 91 | (42) | (48) |
Other finance expense | (15) | 1 | (6) |
Capitalized borrowing costs | 7 | 11 | 8 |
Finance expense | (250) | (172) | (156) |
Finance costs-net | € (243) | € (167) | € (155) |
Finance Costs-Net - Summary o88
Finance Costs-Net - Summary of Finance Costs - Net (Parenthetical) (Detail) - EUR (€) € in Millions | 1 Months Ended | 12 Months Ended | ||||
Nov. 30, 2017 | Feb. 28, 2017 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Analysis of income and expense [line items] | ||||||
Net loss on settlement of debt | € (91) | € (4) | ||||
Exit fees | € 88 | |||||
Unamortized arrangement fees | € 2 | |||||
Capitalisation rate | 6.00% | 7.00% | 7.00% | |||
Constellium N.V. Senior Notes [member] | ||||||
Analysis of income and expense [line items] | ||||||
Interest expense on debt instrument | € 136 | € 104 | € 81 | |||
Net loss on settlement of debt | € (78) | |||||
Muscle Shoals' Senior Notes [member] | ||||||
Analysis of income and expense [line items] | ||||||
Interest expense on debt instrument | 7 | 64 | 64 | |||
Net loss on settlement of debt | € (13) | |||||
Revolving Credit Facility 1 [member] | ||||||
Analysis of income and expense [line items] | ||||||
Interest expense on debt instrument | € 4 | € 3 | € 4 | |||
Muscle Shoals senior unsecured PIK toggle notes [member] | ||||||
Analysis of income and expense [line items] | ||||||
Net loss on settlement of debt | € (2) |
Income Tax - Summary of Current
Income Tax - Summary of Current and Deferred Components of Income Tax (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Major components of tax expense (income) [abstract] | |||
Current tax expense | € (26) | € (19) | € (21) |
Deferred tax (expense) / benefit | (54) | (50) | 53 |
Income tax (expense) / benefit | € (80) | € (69) | € 32 |
Income Tax - Summary of Income
Income Tax - Summary of Income Tax Reconciliation Using Composite Statutory Income Tax Rate Applicable by Tax Jurisdictions (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure Of Income Tax Expense [Abstract] | |||
Income / (Loss) before income tax | € 49 | € 65 | € (584) |
Composite statutory income tax rate applicable by tax jurisdiction | 31.90% | 24.90% | 38.20% |
Income tax (expense) / benefit calculated at composite statutory tax rate applicable by tax jurisdictions | € (16) | € (16) | € 223 |
Tax effect of: | |||
Changes in recognized and unrecognized deferred tax assets | (61) | (45) | (177) |
Change in tax rate | (11) | (6) | |
Other | 8 | (2) | (14) |
Income tax (expense) / benefit | € (80) | € (69) | € 32 |
Effective income tax rate | 163.00% | 106.00% | 5.00% |
Income Tax - Summary of Incom91
Income Tax - Summary of Income Tax Reconciliation Using Composite Statutory Income Tax Rate Applicable by Tax Jurisdictions (Parenthetical) (Detail) - EUR (€) € in Millions | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2020 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of tax reconciliation using composite statutory income tax rate applicable by tax jurisdictions [line Items] | ||||||
Income tax rate | 31.90% | 24.90% | 38.20% | |||
Change in tax rate | € (11) | € (6) | ||||
United States [member] | ||||||
Disclosure of tax reconciliation using composite statutory income tax rate applicable by tax jurisdictions [line Items] | ||||||
Income tax rate | 27.00% | 40.00% | 40.00% | 40.00% | ||
Change in tax rate | € (16) | |||||
France [member] | ||||||
Disclosure of tax reconciliation using composite statutory income tax rate applicable by tax jurisdictions [line Items] | ||||||
Income tax rate | 25.82% | 28.92% | 39.20% | 34.43% | 38.00% |
Income Tax - Additional Informa
Income Tax - Additional Information (Detail) | 12 Months Ended | |||||
Dec. 31, 2022 | Dec. 31, 2020 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of income tax expense [line Items] | ||||||
Statutory income tax rate | 31.90% | 24.90% | 38.20% | |||
Increase (decrease) in composite tax rate | 7.00% | (13.30%) | ||||
United States [member] | ||||||
Disclosure of income tax expense [line Items] | ||||||
Statutory income tax rate | 27.00% | 40.00% | 40.00% | 40.00% | ||
France [member] | ||||||
Disclosure of income tax expense [line Items] | ||||||
Statutory income tax rate | 25.82% | 28.92% | 39.20% | 34.43% | 38.00% | |
Germany [member] | ||||||
Disclosure of income tax expense [line Items] | ||||||
Statutory income tax rate | 29.00% | 29.00% | 29.00% | |||
Netherlands [member] | ||||||
Disclosure of income tax expense [line Items] | ||||||
Statutory income tax rate | 25.00% | 25.00% | 25.00% | |||
Czech Republic [member] | ||||||
Disclosure of income tax expense [line Items] | ||||||
Statutory income tax rate | 19.00% | 19.00% | 19.00% |
Earnings Per Share - Earnings A
Earnings Per Share - Earnings Attributable to Equity Holders of Parent used to Calculate Basic and Diluted Earnings per share (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings per share [abstract] | |||
Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share | € (31) | € (4) | € (554) |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Number of Shares Attributable to Equity Holders (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Weighted average ordinary shares and adjusted weighted average ordinary shares [abstract] | |||
Weighted average number of ordinary shares used to calculate basic earnings per share | 110,164,320 | 105,500,327 | 105,097,442 |
Effect of other dilutive potential ordinary shares | 0 | 0 | 0 |
Weighted average number of ordinary shares used to calculate diluted earnings per share | 110,164,320 | 105,500,327 | 105,097,442 |
Earnings Per Share - Summary 95
Earnings Per Share - Summary of Number of Shares Attributable to Equity Holders (Parenthetical) (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Weighted average ordinary shares and adjusted weighted average ordinary shares [abstract] | |||
Potential Ordinary shares | 3,291,875 | 411,902 | 510,721 |
Earnings Per Share - Summary 96
Earnings Per Share - Summary of Earnings Per Share Attributable to the Equity Holders (Detail) - € / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Earnings per share [abstract] | |||
Basic | € (0.28) | € (0.04) | € (5.27) |
Diluted | € (0.28) | € (0.04) | € (5.27) |
Cash and Cash Equivalents - Sum
Cash and Cash Equivalents - Summary of Cash and Cash Equivalents (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Cash and cash equivalents [abstract] | ||||
Cash in bank and on hand | € 269 | € 347 | ||
Total Cash and cash equivalents | € 269 | € 347 | € 472 | € 991 |
Cash and Cash Equivalents - Add
Cash and Cash Equivalents - Additional Information (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of cash and cash equivalents [line Items] | ||
Cash in bank and on hand | € 269 | € 347 |
Subsidiaries in capital control restrictions countries [member] | ||
Disclosure of cash and cash equivalents [line Items] | ||
Cash in bank and on hand | € 12 | € 7 |
Trade Receivables and Other - S
Trade Receivables and Other - Summary of Trade Receivables and Other (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of trade and other receivables [line items] | ||
Non-current trade receivables | € 0 | € 0 |
Finance lease receivables | 6 | 12 |
Deferred tooling related costs | 28 | 11 |
Other taxes | 0 | 0 |
Restricted cash | 1 | 9 |
Prepaid expenses | 5 | 6 |
Other | 8 | 9 |
Total Other receivables | 48 | 47 |
Total Trade receivables and Other | 48 | 47 |
Current trade receivables | 306 | 235 |
Finance lease receivables | 6 | 6 |
Deferred tooling related costs | 0 | 0 |
Current income tax receivables | 58 | 52 |
Other taxes | 30 | 39 |
Restricted cash | 0 | 0 |
Prepaid expenses | 8 | 9 |
Other | 11 | 14 |
Total Other receivables | 113 | 120 |
Total Trade receivables and Other | 419 | 355 |
Gross value [member] | ||
Disclosure of trade and other receivables [line items] | ||
Non-current trade receivables | 0 | 0 |
Current trade receivables | 309 | 238 |
Impairment [member] | ||
Disclosure of trade and other receivables [line items] | ||
Non-current trade receivables | 0 | 0 |
Current trade receivables | € (3) | € (3) |
Trade Receivables and Other 100
Trade Receivables and Other - Summary of Aging of Total Trade Receivables - Net (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Trade receivables [line items] | ||
Trade receivables-net | € 306 | € 235 |
Current [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 286 | 217 |
Past Due 1 to 30 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 13 | 14 |
Past Due 31 to 60 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 2 | 3 |
Past Due 61 to 90 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 3 | € 1 |
Past Due Greater Than91 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | € 2 |
Trade Receivables and Other - A
Trade Receivables and Other - Additional Information (Detail) | Dec. 31, 2017EUR (€) | Dec. 31, 2017USD ($) | Dec. 31, 2017EUR (€) | Dec. 31, 2016EUR (€) |
Disclosure of trade and other receivables [line items] | ||||
Reversal of impairment allowance | € (700,000) | € 800,000 | ||
Factored assets | € 642,000,000 | 642,000,000 | 681,000,000 | |
Factored assets, derecognized from Consolidated Statement of Financial Position | 473,000,000 | 473,000,000 | 566,000,000 | |
Factored assets, recognized in Consolidated Statement of Financial Position | 169,000,000 | 169,000,000 | 115,000,000 | |
Debt due factor | € 0 | € 0 | € 1,000,000 | |
Factoring of receivables [member] | Muscle Shoals factoring facility [member] | ||||
Disclosure of trade and other receivables [line items] | ||||
Factoring maximum capacity | $ | $ 325,000,000 | |||
Accounts receivable factoring agreement maturity date | Jan. 24, 2018 | Jan. 24, 2018 | ||
Factoring of receivables [member] | Muscle Shoals factoring facility [member] | 2018 amendment [member] | ||||
Disclosure of trade and other receivables [line items] | ||||
Accounts receivable factoring agreement amendment date | Jan. 2, 2018 | Jan. 2, 2018 | ||
Factoring of receivables [member] | Muscle Shoals factoring facility [member] | 2017 amendment [member] | ||||
Disclosure of trade and other receivables [line items] | ||||
Accounts receivable factoring agreement amendment date | Jan. 31, 2017 | Jan. 31, 2017 | ||
France [member] | Factoring of receivables [member] | ||||
Disclosure of trade and other receivables [line items] | ||||
Factoring maximum capacity | € 235,000,000 | |||
Accounts receivable factoring agreement maturity date | Oct. 29, 2021 | Oct. 29, 2021 | ||
Accounts receivable factoring agreement amendment date | Apr. 19, 2017 | Apr. 19, 2017 | ||
Germany Switzerland and Czech Republic [Member] | Factoring of receivables [member] | ||||
Disclosure of trade and other receivables [line items] | ||||
Factoring maximum capacity | € 150,000,000 | |||
Accounts receivable factoring agreement maturity date | Oct. 29, 2021 | Oct. 29, 2021 | ||
United States [member] | Factoring of receivables [member] | Constellium automotive [member] | ||||
Disclosure of trade and other receivables [line items] | ||||
Factoring maximum capacity | $ | $ 25,000,000 | |||
Accounts receivable factoring agreement maturity date | Dec. 12, 2018 | Dec. 12, 2018 | ||
Accounts receivable factoring agreement amendment date | Dec. 13, 2017 | Dec. 13, 2017 |
Trade Receivables and Other 102
Trade Receivables and Other - Summary of Carrying Amounts of Total Trade Receivables - Net by Currency (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Trade receivables [line items] | ||
Total trade receivables-net | € 306 | € 235 |
Euro [member] | ||
Trade receivables [line items] | ||
Total trade receivables-net | 124 | 101 |
U.S. Dollar [member] | ||
Trade receivables [line items] | ||
Total trade receivables-net | 164 | 115 |
Swiss Franc [member] | ||
Trade receivables [line items] | ||
Total trade receivables-net | 4 | 3 |
Other currencies [member] | ||
Trade receivables [line items] | ||
Total trade receivables-net | € 14 | € 16 |
Trade Receivables and Other - D
Trade Receivables and Other - Disclosure of Gross Investments In Leases To Net Investment Leases (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of finance lease by lessor [line Items] | ||
Year ended Gross Investment in the lease | € 12 | € 19 |
Unearned Interest Income | (1) | |
Net investment in the lease | 12 | 18 |
Less than 1 year [member] | ||
Disclosure of finance lease by lessor [line Items] | ||
Year ended Gross Investment in the lease | 6 | 7 |
Unearned Interest Income | (1) | |
Net investment in the lease | 6 | 6 |
Between 1 and 5 years [member] | ||
Disclosure of finance lease by lessor [line Items] | ||
Year ended Gross Investment in the lease | 6 | 12 |
Net investment in the lease | € 6 | € 12 |
Inventories - Disclosure of Inv
Inventories - Disclosure of Inventories (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Classes of current inventories [abstract] | ||
Finished goods | € 164 | € 149 |
Work in progress | 332 | 299 |
Raw materials | 111 | 94 |
Stores and supplies | 64 | 69 |
Adjustments | (28) | (20) |
Total inventories | € 643 | € 591 |
Property Plant and Equipment -
Property Plant and Equipment - Summary of Property Plant and Equipment (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | € 1,477 | € 1,255 |
Additions | 282 | 362 |
Disposals | (4) | (11) |
Depreciation expense | (159) | (144) |
Transfer during the period | 8 | |
Effects of changes in foreign exchange rates | (87) | 15 |
Net balance, ending | 1,517 | 1,477 |
Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 2,187 | |
Net balance, ending | 2,291 | 2,187 |
Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (710) | |
Net balance, ending | (774) | (710) |
Land and property rights.[member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 19 | 21 |
Additions | 1 | |
Depreciation expense | (4) | (4) |
Transfer during the period | 1 | |
Effects of changes in foreign exchange rates | (2) | 1 |
Net balance, ending | 14 | 19 |
Land and property rights.[member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 27 | |
Net balance, ending | 25 | 27 |
Land and property rights.[member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (8) | |
Net balance, ending | (11) | (8) |
Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 209 | 158 |
Additions | 2 | 6 |
Disposals | (1) | |
Depreciation expense | (13) | (13) |
Transfer during the period | 18 | 55 |
Effects of changes in foreign exchange rates | (9) | 3 |
Net balance, ending | 206 | 209 |
Buildings [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 324 | |
Net balance, ending | 321 | 324 |
Buildings [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (115) | |
Net balance, ending | (115) | (115) |
Machinery and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 1,020 | 773 |
Additions | 50 | 56 |
Disposals | (3) | (6) |
Depreciation expense | (135) | (120) |
Transfer during the period | 223 | 309 |
Effects of changes in foreign exchange rates | (66) | 8 |
Net balance, ending | 1,089 | 1,020 |
Machinery and equipment [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 1,581 | |
Net balance, ending | 1,712 | 1,581 |
Machinery and equipment [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (561) | |
Net balance, ending | (623) | (561) |
Construction Work in Progress [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 221 | 296 |
Additions | 224 | 297 |
Disposals | (5) | |
Transfer during the period | (237) | (370) |
Effects of changes in foreign exchange rates | (10) | 3 |
Net balance, ending | 198 | 221 |
Construction Work in Progress [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 228 | |
Net balance, ending | 204 | 228 |
Construction Work in Progress [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (7) | |
Net balance, ending | (6) | (7) |
Other [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 8 | 7 |
Additions | 5 | 3 |
Depreciation expense | (7) | (7) |
Transfer during the period | 4 | 5 |
Net balance, ending | 10 | 8 |
Other [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 27 | |
Net balance, ending | 29 | 27 |
Other [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (19) | |
Net balance, ending | € (19) | € (19) |
Property Plant and Equipment106
Property Plant and Equipment - Summary of Amounts Included in Building, Machinery and Equipment Under a Finance Lease (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | € 60 | € 57 |
Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | 25 | 28 |
Machinery and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | 35 | 29 |
Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | 92 | 81 |
Gross value [member] | Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | 30 | 31 |
Gross value [member] | Machinery and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | 62 | 50 |
Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | (32) | (24) |
Accumulated depreciation [member] | Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | (5) | (3) |
Accumulated depreciation [member] | Machinery and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | € (27) | € (21) |
Property Plant and Equipment107
Property Plant and Equipment - Summary of Future Aggregate Minimum Lease Payments Under Non-cancellable Finance Leases (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of finance lease by lessee [line Items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | € 71 | € 71 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | 60 | 60 |
Less than 1 year [member] | ||
Disclosure of finance lease by lessee [line Items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | 15 | 13 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | 14 | 10 |
Between 1 and 5 years [member] | ||
Disclosure of finance lease by lessee [line Items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | 37 | 36 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | 30 | 35 |
More than 5 years [member] | ||
Disclosure of finance lease by lessee [line Items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | 19 | 22 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | € 16 | € 15 |
Property Plant and Equipment108
Property Plant and Equipment - Summary of Depreciation Expense and Impairment Losses Relating to Property Plant and Equipment and Intangible Assets (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | € (171) | € (155) | € (140) |
Depreciation expense and impairment loss | (171) | (155) | (592) |
Impairment [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation expense and impairment loss | (452) | ||
Cost of sales. | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | (160) | (147) | (132) |
Selling and administrative expenses [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | (8) | (6) | (6) |
Research and development expenses [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | € (3) | € (2) | € (2) |
Property Plant and Equipment109
Property Plant and Equipment - Additional Information (Detail) - Muscle shoals [member] € in Millions | 12 Months Ended |
Dec. 31, 2015EUR (€) | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Discount rate applied to cash flows projection description | 11.00% |
Growth rate for extrapolate the cash flows beyond the projection period | 0.00% |
Recoverable value lower than the carrying value | € 400 |
Impairment charge | 400 |
Constellium Valais cash-generating units [member] | |
Disclosure of detailed information about property, plant and equipment [line items] | |
Impairment charge | € 49 |
Intangible Assets (Including110
Intangible Assets (Including Goodwill) - Disclosure of Changes in Intangible Assets and Goodwill (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Goodwill, beginning balance | € 457 | € 443 |
Effects of changes in foreign exchange rates | (54) | 14 |
Goodwill, ending balance | 403 | 457 |
Intangible assets (excluding goodwill), beginning balance | 79 | 78 |
Intangible assets (excluding goodwill), additions | 6 | 5 |
Intangible assets (excluding goodwill), amortization expense | (12) | (11) |
Intangible assets (excluding goodwill), transfer during the period | 2 | |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | (7) | 7 |
Intangible assets (excluding goodwill), ending balance | 68 | 79 |
Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Goodwill, beginning balance | 457 | |
Goodwill, ending balance | 403 | 457 |
Intangible assets (excluding goodwill), beginning balance | 198 | |
Intangible assets (excluding goodwill), ending balance | 186 | 198 |
Accumulated amortization and impairment [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | (119) | |
Intangible assets (excluding goodwill), ending balance | (118) | (119) |
Technology [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 28 | 28 |
Intangible assets (excluding goodwill), amortization expense | (1) | (1) |
Intangible assets (excluding goodwill), transfer during the period | 1 | |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | (4) | 1 |
Intangible assets (excluding goodwill), ending balance | 24 | 28 |
Technology [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 91 | |
Intangible assets (excluding goodwill), ending balance | 81 | 91 |
Technology [member] | Accumulated amortization and impairment [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | (63) | |
Intangible assets (excluding goodwill), ending balance | (57) | (63) |
Computer software [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 21 | 23 |
Intangible assets (excluding goodwill), additions | 1 | |
Intangible assets (excluding goodwill), amortization expense | (9) | (9) |
Intangible assets (excluding goodwill), transfer during the period | 7 | 2 |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | (1) | 4 |
Intangible assets (excluding goodwill), ending balance | 18 | 21 |
Computer software [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 52 | |
Intangible assets (excluding goodwill), ending balance | 55 | 52 |
Computer software [member] | Accumulated amortization and impairment [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | (31) | |
Intangible assets (excluding goodwill), ending balance | (37) | (31) |
Customer relationships [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 18 | 18 |
Intangible assets (excluding goodwill), amortization expense | (1) | (1) |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | (2) | 1 |
Intangible assets (excluding goodwill), ending balance | 15 | 18 |
Customer relationships [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 43 | |
Intangible assets (excluding goodwill), ending balance | 38 | 43 |
Customer relationships [member] | Accumulated amortization and impairment [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | (25) | |
Intangible assets (excluding goodwill), ending balance | (23) | (25) |
Work in progress [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 9 | 7 |
Intangible assets (excluding goodwill), additions | 6 | 4 |
Intangible assets (excluding goodwill), transfer during the period | (6) | (2) |
Intangible assets (excluding goodwill), ending balance | 9 | 9 |
Work in progress [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 9 | |
Intangible assets (excluding goodwill), ending balance | 9 | 9 |
Other intangible assets [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 3 | 2 |
Intangible assets (excluding goodwill), amortization expense | (1) | |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | 1 | |
Intangible assets (excluding goodwill), ending balance | 2 | 3 |
Other intangible assets [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 3 | |
Intangible assets (excluding goodwill), ending balance | 3 | € 3 |
Other intangible assets [member] | Accumulated amortization and impairment [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), ending balance | € (1) |
Intangible Assets (Including111
Intangible Assets (Including Goodwill) - Additional Information (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Goodwill | € 403 | € 403 | € 457 | € 443 |
P&ARP [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Goodwill | € 396 | 396 | ||
Cash flow projected period | 8 years | |||
Carrying value | € 1,204 | 1,204 | ||
Recoverable value | € 1,554 | € 1,554 | ||
Increase discount rate | 2.25% | |||
Decrease perpetual growth rate | 5.00% | |||
Automotive Body Sheet lower shipments | 65.00% | |||
P&ARP [member] | Bottom of range [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Cash flow and a long term growth rate | 0.00% | |||
Cash flows projections | 10.00% | |||
P&ARP [member] | Top of range [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Cash flow and a long term growth rate | 1.50% | |||
Cash flows projections | 12.00% | |||
A&T [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Goodwill | € 5 | € 5 | ||
AS&I [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Goodwill | € 2 | € 2 |
Investments Accounted for Un112
Investments Accounted for Under Equity Method - Summary of Investments Accounted for Under Equity Method (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share of profit (loss) of associates and joint ventures accounted for using equity method [abstract] | |||
At January 1, | € 16 | € 30 | |
Joint venture's profit / (loss) | (29) | (14) | € (3) |
Additions | 0 | 0 | |
Reclassified to non-current other financial assets | 14 | ||
Effects of changes in foreign exchange rates | 0 | 0 | |
At December 31, | € 1 | € 16 | € 30 |
Investments Accounted for Un113
Investments Accounted for Under Equity Method - Additional Information (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
Share of profit (loss) of associates and joint ventures accounted for using equity method [abstract] | |
Share of losses of joint-ventures in excess of initial investment | € 14 |
Investments Accounted for Un114
Investments Accounted for Under Equity Method - Summary of Share of Joint Ventures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of investments accounted for using equity method [line items] | |||
Investments accounted for under the equity method | € 1 | € 16 | € 30 |
Group share of joint venture's profit / (loss) | € (29) | € (14) | € (3) |
Constellium-UACJ ABS LLC [member] | |||
Disclosure of investments accounted for using equity method [line items] | |||
Ownership percentage | 51.00% | 51.00% | |
Investments accounted for under the equity method | € (14) | € 15 | |
Group share of joint venture's profit / (loss) | € (29) | € (14) | |
Rhenaroll S.A. [member] | |||
Disclosure of investments accounted for using equity method [line items] | |||
Ownership percentage | 49.85% | 49.85% | |
Investments accounted for under the equity method | € 1 | € 1 | |
Group share [member] | |||
Disclosure of investments accounted for using equity method [line items] | |||
Investments accounted for under the equity method | (13) | 16 | |
Group share of joint venture's profit / (loss) | (29) | € (14) | |
Non-current other financial assets [member] | |||
Disclosure of investments accounted for using equity method [line items] | |||
Investments accounted for under the equity method | € 14 |
Investments Accounted for Un115
Investments Accounted for Under Equity Method - Summary of Share of Joint Ventures (Parenthetical) (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of investments accounted for using equity method [line items] | |||
Revenue | € 5,237 | € 4,743 | € 5,153 |
Constellium-UACJ ABS LLC [member] | |||
Disclosure of investments accounted for using equity method [line items] | |||
Ownership percentage | 51.00% | 51.00% | |
Revenue | € 123 | € 15 | |
Rhenaroll S.A. [member] | |||
Disclosure of investments accounted for using equity method [line items] | |||
Ownership percentage | 49.85% | 49.85% | |
Revenue | € 3 | € 3 |
Investments Accounted for Un116
Investments Accounted for Under Equity Method - Summary of Amounts Included in Financial Statements in Accordance with Group Accounting Principles (Detail) - EUR (€) € in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current assets | ||||
Cash and cash equivalents | € 269 | € 347 | € 472 | € 991 |
Trades receivables and other | 419 | 355 | ||
Inventories | 643 | 591 | ||
Other financial assets | 179 | 166 | ||
Non-current assets | ||||
Property, plant and equipment | 1,517 | 1,477 | 1,255 | |
Intangible assets | 68 | 79 | 78 | |
Total Assets | 3,711 | 3,787 | ||
Current liabilities | ||||
Trade payables and other | 930 | 839 | ||
Borrowings | 106 | 107 | ||
Non-current liabilities | ||||
Borrowings | 2,021 | 2,361 | ||
Equity | (319) | (570) | (540) | € (37) |
Total Equity and Liabilities | 3,711 | 3,787 | ||
Revenue | 5,237 | 4,743 | 5,153 | |
Cost of sales | (4,698) | (4,227) | (4,703) | |
Selling and administrative expenses | (248) | (254) | (245) | |
Income / (loss) from operations | 321 | 246 | (426) | |
Finance costs | (250) | (172) | (156) | |
Net loss | (31) | (4) | (552) | |
Finance income | 7 | 5 | € 1 | |
Constellium-UACJ ABS LLC [member] | ||||
Current assets | ||||
Cash and cash equivalents | 5 | 6 | ||
Trades receivables and other | 35 | 7 | ||
Inventories | 57 | 28 | ||
Non-current assets | ||||
Property, plant and equipment | 161 | 189 | ||
Intangible assets | 1 | 1 | ||
Total Assets | 259 | 231 | ||
Current liabilities | ||||
Trade payables and other | 34 | 26 | ||
Borrowings | 206 | 129 | ||
Non-current liabilities | ||||
Borrowings | 47 | 46 | ||
Equity | (28) | 30 | ||
Total Equity and Liabilities | 259 | 231 | ||
Revenue | 123 | 15 | ||
Cost of sales | (151) | (28) | ||
Selling and administrative expenses | (14) | (8) | ||
Income / (loss) from operations | (42) | (21) | ||
Finance costs | (15) | (6) | ||
Net loss | (57) | (27) | ||
Group Companies and Constellium UACJ ABS LLC [member] | ||||
Current assets | ||||
Trades receivables and other | 15 | 10 | ||
Other financial assets | 83 | 66 | ||
Non-current assets | ||||
Total Assets | 98 | 76 | ||
Non-current liabilities | ||||
Revenue | 59 | 13 | ||
Net loss | 68 | 20 | ||
Fees and recharges | 3 | 3 | ||
Finance income | € 6 | € 4 |
Investments Accounted for Un117
Investments Accounted for Under Equity Method - Summary of Amounts Included in Financial Statements in Accordance with Group Accounting Principles (Parenthetical) (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
Disclosure of investments accounted for using equity method [line items] | |
Share of losses of joint-ventures in excess of initial investment | € 14 |
Group Companies and Constellium UACJ ABS LLC [member] | |
Disclosure of investments accounted for using equity method [line items] | |
Loans advanced | 97 |
Share of losses of joint-ventures in excess of initial investment | € 14 |
Investments Accounted for Un118
Investments Accounted for Under Equity Method - Summary of Guarantees and Commitments (Detail) - Constellium-UACJ ABS LLC [member] - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of investments accounted for using equity method [line items] | ||
Total Guarantees and commitments given | € 14 | € 34 |
Financial guarantees [member] | ||
Disclosure of investments accounted for using equity method [line items] | ||
Total Guarantees and commitments given | 11 | |
Loan Facility Commitment [Member] | ||
Disclosure of investments accounted for using equity method [line items] | ||
Total Guarantees and commitments given | 15 | |
Supplier guarantees [member] | ||
Disclosure of investments accounted for using equity method [line items] | ||
Total Guarantees and commitments given | € 3 | € 19 |
Deferred Income Taxes - Summary
Deferred Income Taxes - Summary of Deferred Income Taxes (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Major components of tax expense (income) [abstract] | |||
Deferred income tax assets | € 164 | € 252 | |
Deferred income tax liabilities | (25) | (30) | |
Net Deferred income tax assets | € 139 | € 222 | € 260 |
Deferred Income Taxes - Signifi
Deferred Income Taxes - Significant Components of Deferred Tax Assets and Liabilities (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | € 222 | € 260 |
Recognized in Profit or loss | (54) | (50) |
Recognized in OCI | (20) | 11 |
Effect of change in foreign exchange rates | (9) | 2 |
other | (1) | |
At December 31 | 139 | 222 |
Long-term assets [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | (90) | (27) |
Recognized in Profit or loss | 5 | (59) |
Effect of change in foreign exchange rates | 9 | (4) |
At December 31 | (76) | (90) |
Inventories [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 6 | 4 |
Recognized in Profit or loss | (2) | 3 |
other | (1) | |
At December 31 | 4 | 6 |
Pensions [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 188 | 193 |
Recognized in Profit or loss | (39) | (11) |
Recognized in OCI | (5) | 2 |
Effect of change in foreign exchange rates | (14) | 4 |
At December 31 | 130 | 188 |
Derivative valuation [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 13 | 27 |
Recognized in Profit or loss | (17) | (21) |
Recognized in OCI | (15) | 9 |
Effect of change in foreign exchange rates | (1) | |
other | (2) | |
At December 31 | (20) | 13 |
Tax losses carried forward [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 79 | 40 |
Recognized in Profit or loss | 3 | 38 |
Effect of change in foreign exchange rates | (4) | 1 |
At December 31 | 78 | 79 |
Other [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 26 | 23 |
Recognized in Profit or loss | (3) | |
Effect of change in foreign exchange rates | 1 | |
other | 2 | |
At December 31 | € 23 | € 26 |
Deferred Income Taxes - Additio
Deferred Income Taxes - Additional Information (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Major components of tax expense (income) [abstract] | ||
US tax rate decrease impact in P&L | € (16) | |
US tax rate decrease impact in OCI | (8) | |
Unused tax losses for which no deferred tax asset recognized | 1,393 | € 1,345 |
Related tax impact | 356 | € 428 |
Variance of unrecognized deferred tax assets | 72 | |
Effect of US tax rate decrease on unrecognized deferred tax assets | 93 | |
Effect of foreign exchange differrence on unrecognized deferred tax assets | 35 | |
Increase of unrecognized deferred tax assets on deductible temporary differences and unused tax losses | € (56) |
Deferred Income Taxes - Compone
Deferred Income Taxes - Components of Non Recognized Deferred Tax Assets (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | € 1,393 | € 1,345 |
Total | (356) | (428) |
Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | (183) | (164) |
Long-term assets [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (116) | (193) |
Pensions [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (20) | (25) |
Other temporary differences [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (37) | (46) |
Temporary differences [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (173) | (264) |
Expiring in 2018 to 2021 [member] | Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | (22) | (13) |
Expiring in 2022 and after limited [member] | Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | (143) | (132) |
Unlimited [member] | Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | € (18) | € (19) |
Trade Payables and Other - Deta
Trade Payables and Other - Detailed Information about Trade and Other Payables (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Trade and other payables [abstract] | ||
Trade payables | € 0 | € 0 |
Fixed assets payables | 0 | 0 |
Employees' entitlements | 0 | 0 |
Deferred revenue | 34 | 40 |
Taxes payable other than income tax | 0 | 0 |
Other payables | 20 | 19 |
Total Other | 54 | 59 |
Total Trade payables and other | 54 | 59 |
Trade payables | 717 | 627 |
Fixed assets payables | 27 | 33 |
Employees' entitlements | 159 | 141 |
Deferred revenue | 10 | 14 |
Taxes payable other than income tax | 12 | 17 |
Other payables | 5 | 7 |
Total Other | 213 | 212 |
Total Trade payables and other | € 930 | € 839 |
Borrowings - Summary of Borrowi
Borrowings - Summary of Borrowings (Detail) | Nov. 09, 2017 | Feb. 16, 2017 | Dec. 31, 2017EUR (€) | Dec. 31, 2017USD ($) | Dec. 31, 2016EUR (€) | Dec. 31, 2015EUR (€) |
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 2,140,000,000 | |||||
Arrangement fees | (36,000,000) | |||||
Accrued interest | 23,000,000 | |||||
Borrowings | 2,127,000,000 | € 2,468,000,000 | € 2,233,000,000 | |||
Nominal rate | 6.625% | |||||
Non-current | 2,021,000,000 | 2,361,000,000 | ||||
Current | 106,000,000 | 107,000,000 | ||||
Pan US ABL facility (due 2022) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 65,000,000 | $ 78,000,000 | ||||
Nominal rate | Floating | |||||
Effective rate | 3.79% | 3.79% | ||||
Borrowings | € 65,000,000 | |||||
Constellium N.V. USD Senior Unsecured Notes (Issued November 2017, due 2026) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 417,000,000 | $ 500,000,000 | ||||
Effective rate | 6.26% | 6.26% | ||||
Arrangement fees | € (8,000,000) | |||||
Accrued interest | 4,000,000 | |||||
Borrowings | € 413,000,000 | |||||
Nominal rate | 5.875% | 5.88% | ||||
Constellium N.V. EURO Senior Unsecured Notes (Issued November 2017, due 2026) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 400,000,000 | |||||
Effective rate | 4.57% | 4.57% | ||||
Arrangement fees | € (7,000,000) | |||||
Accrued interest | 2,000,000 | |||||
Borrowings | € 395,000,000 | |||||
Nominal rate | 4.25% | 4.25% | ||||
Constellium N.V.senior secured notes (Issued March 2016, due 2021) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | $ | $ 425,000,000 | |||||
Effective rate | 8.94% | 8.94% | ||||
Borrowings | 401,000,000 | |||||
Nominal rate | 7.88% | |||||
Muscle Shoals senior secured notes [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | $ | $ 650,000,000 | |||||
Effective rate | 7.45% | 7.45% | ||||
Borrowings | 635,000,000 | |||||
Nominal rate | 8.75% | |||||
Constellium N.V. senior unsecured notes (Issued May 2014, due 2024) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 334,000,000 | $ 400,000,000 | ||||
Effective rate | 6.26% | 6.26% | ||||
Arrangement fees | € (4,000,000) | |||||
Accrued interest | 2,000,000 | |||||
Borrowings | € 332,000,000 | 377,000,000 | ||||
Nominal rate | 5.75% | |||||
Constellium N.V. senior unsecured notes (Issued May 2014, due 2021) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 300,000,000 | |||||
Effective rate | 5.16% | 5.16% | ||||
Arrangement fees | € (4,000,000) | |||||
Accrued interest | 2,000,000 | |||||
Borrowings | € 298,000,000 | 298,000,000 | ||||
Nominal rate | 4.63% | |||||
Constellium N.V. senior unsecured notes issued December 2014, due 2023) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | $ | $ 400,000,000 | |||||
Effective rate | 8.61% | 8.61% | ||||
Borrowings | 387,000,000 | |||||
Nominal rate | 8.00% | |||||
Constellium N.V. senior unsecured notes issued December 2014, due 2023) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 240,000,000 | |||||
Effective rate | 7.54% | 7.54% | ||||
Borrowings | 244,000,000 | |||||
Nominal rate | 7.00% | |||||
Constellium N.V. Senior Unsecured Notes (Issued February 2017, due 2025) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 542,000,000 | $ 650,000,000 | ||||
Effective rate | 7.13% | 7.13% | ||||
Arrangement fees | € (13,000,000) | |||||
Accrued interest | 12,000,000 | |||||
Borrowings | € 541,000,000 | |||||
Nominal rate | 6.63% | |||||
Other loans [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal Value | € 82,000,000 | |||||
Accrued interest | 1,000,000 | |||||
Borrowings | € 83,000,000 | 80,000,000 | ||||
Ravenswood ABL facility (due 2018) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal rate | Floating | |||||
Borrowings | € 46,000,000 | |||||
Muscle Shoals ABL facility (due 2020) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal rate | Floating | |||||
Secured inventory based facility (due 2019) [member] | ||||||
Disclosure of detailed information about borrowings [line items] | ||||||
Nominal rate | Floating |
Borrowings - Summary of Borr125
Borrowings - Summary of Borrowings (Parenthetical) (Detail) € in Millions | Nov. 09, 2017EUR (€) | Feb. 16, 2017EUR (€) | Dec. 31, 2017 | Nov. 09, 2017USD ($) | Jun. 21, 2017USD ($) | Apr. 21, 2017EUR (€) | Feb. 16, 2017USD ($) |
Disclosure of detailed information about borrowings [line items] | |||||||
Principle amount | $ 650,000,000 | ||||||
Nominal rate | 6.625% | ||||||
Deferred arrangement fees | € | € 15 | € 14 | |||||
Pan US ABL facility (due 2022) [member] | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Credit facility | $ 300,000,000 | ||||||
Credit facility committed accordion | $ 200,000,000 | ||||||
French entities [member] | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Secured revolving credit facility | € | € 100 | ||||||
Constellium N.V. USD Senior Unsecured Notes (Issued November 2017, due 2026) [member] | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Principle amount | $ 500,000,000 | ||||||
Nominal rate | 5.875% | 5.88% | |||||
Constellium N.V. EURO Senior Unsecured Notes (Issued November 2017, due 2026) [member] | |||||||
Disclosure of detailed information about borrowings [line items] | |||||||
Principle amount | € | € 400 | ||||||
Nominal rate | 4.25% | 4.25% |
Borrowings - Summary of Reconci
Borrowings - Summary of Reconciliation of Movement in Net Borrowings Explanatory (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about borrowings [abstract] | ||
At January 1, | € 2,468 | € 2,233 |
Proceeds from issuance of Senior Notes | 1,440 | 375 |
Repayments of Senior Notes or PIK Toggle notes | (1,559) | (148) |
Proceeds / (Repayments) from U.S. Revolving Credit Facilities and other loans | 29 | (69) |
Arrangement fees payment | (29) | (12) |
Finance lease repayment and others | (13) | (10) |
Movement in interests accrued or capitalized | (13) | 15 |
New finance leases | 17 | 16 |
Deferred arrangement fees and step-up amortization | 7 | (10) |
Effects of changes in foreign exchange rates | (220) | 78 |
At December 31, | € 2,127 | € 2,468 |
Borrowings - Summary of Reco127
Borrowings - Summary of Reconciliation of Movement in Net Borrowings Explanatory (Parenthetical) (Detail) € in Millions | Nov. 09, 2017EUR (€)EUR_per_USD | Feb. 16, 2017EUR (€)EUR_per_USD | Dec. 31, 2017EUR (€) | Dec. 31, 2016EUR (€) | Dec. 05, 2016EUR (€)EUR_per_USD |
Disclosure of detailed information about borrowings [line items] | |||||
Proceeds from the issuance of senior notes | € 1,440 | € 375 | |||
Redemption of senior notes | € 1,559 | € 148 | |||
Constellium N.V. USD Senior Unsecured Notes (Issued November 2017, due 2026) [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Proceeds from the issuance of senior notes | € 830 | ||||
Exchange rate | EUR_per_USD | 1.1630 | ||||
Constellium N.V. Senior Unsecured Notes (Issued February 2017, due 2025) [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Proceeds from the issuance of senior notes | € 610 | ||||
Exchange rate | EUR_per_USD | 1.0652 | ||||
Senior secured and unsecured notes [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Redemption of senior notes | € 949 | ||||
Exchange rate | EUR_per_USD | 1.1630 | ||||
Muscle Shoals senior unsecured PIK toggle notes [member] | |||||
Disclosure of detailed information about borrowings [line items] | |||||
Redemption on PIK Toggle notes | € 148 | ||||
Exchange rate | EUR_per_USD | 1.0702 |
Borrowings - Summary of Composi
Borrowings - Summary of Composition of Carrying Amounts of Total Borrowings (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | € 2,127 | € 2,468 | € 2,233 |
U.S. Dollar [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | 1,387 | 1,887 | |
Euro [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | 720 | 575 | |
Other currencies [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | € 20 | € 6 |
Borrowings - Additional Informa
Borrowings - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Pan US ABL facility (due 2022) [member] | |
Disclosure of detailed information about borrowings [line items] | |
Debt covenant, Percentage of aggregate revolving loan commitments | 10.00% |
Financial Instruments - Summary
Financial Instruments - Summary of Financial Assets and Liabilities by Categories (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | € 269 | € 347 | € 472 | € 991 |
Trade receivables and Finance Lease receivables | 318 | 253 | ||
Other financial assets | 179 | 166 | ||
Total financial assets | 766 | 766 | ||
Trade payables and fixed assets payables | 744 | 660 | ||
Borrowings | 2,127 | 2,468 | € 2,233 | |
Other financial liabilities | 66 | 64 | ||
Total financial liabilities | 2,937 | 3,192 | ||
At amortized cost [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Trade payables and fixed assets payables | 744 | 660 | ||
Borrowings | 2,127 | 2,468 | ||
Total financial liabilities | 2,871 | 3,128 | ||
At fair value through Profit and loss [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Other financial liabilities | 66 | 37 | ||
Total financial liabilities | 66 | 37 | ||
At fair value through OCI [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Other financial liabilities | 27 | |||
Total financial liabilities | 27 | |||
Loans and receivables [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | 269 | 347 | ||
Trade receivables and Finance Lease receivables | 318 | 253 | ||
Other financial assets | 83 | 66 | ||
Total financial assets | 670 | 666 | ||
At fair value through Profit and loss [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Other financial assets | 77 | 100 | ||
Total financial assets | 77 | € 100 | ||
At fair value through OCI [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Other financial assets | 19 | |||
Total financial assets | € 19 |
Financial Instruments - Summ131
Financial Instruments - Summary of Other Financial Assets and Other Financial Liabilities Positions (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | € 29 | € 49 |
Current derivative financial assets | 67 | 51 |
Derivatives assets | 96 | 100 |
Non-current loans | 81 | |
Current loans | 2 | 66 |
Loans | 83 | 66 |
Other non-current financial assets | 110 | 49 |
Other current financial assets | 69 | 117 |
Other financial assets | 179 | 166 |
Other non-current financial liabilities | 43 | 30 |
Other current financial liabilities | 23 | 34 |
Other financial liabilities | 66 | 64 |
Non-current derivative financial liabilities | 43 | 30 |
Current derivative financial liabilities | 23 | 34 |
Derivatives Liabilities | 66 | 64 |
Aluminium and premium future contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | 6 | |
Current derivative financial assets | 39 | 6 |
Derivatives assets | 45 | 6 |
Non-current derivative financial liabilities | 4 | |
Current derivative financial liabilities | 6 | 5 |
Derivatives Liabilities | 6 | 9 |
Energy future contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Current derivative financial assets | 4 | |
Derivatives assets | 4 | |
Other future contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Current derivative financial assets | 1 | |
Derivatives assets | 1 | |
Current derivative financial liabilities | 1 | 2 |
Derivatives Liabilities | 1 | 2 |
Currency commercial contracts [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | 21 | 2 |
Current derivative financial assets | 20 | 11 |
Derivatives assets | 41 | 13 |
Non-current derivative financial liabilities | 6 | 26 |
Current derivative financial liabilities | 12 | 27 |
Derivatives Liabilities | 18 | 53 |
Currency net debt derivatives [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | 2 | 47 |
Current derivative financial assets | 7 | 30 |
Derivatives assets | 9 | € 77 |
Non-current derivative financial liabilities | 37 | |
Current derivative financial liabilities | 4 | |
Derivatives Liabilities | € 41 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) - Fair value [member] € in Millions | Dec. 31, 2017EUR (€) |
Constellium N.V. senior unsecured notes (Issued May 2014) [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Percentage of fair value senior notes issued | 102.00% |
Senior Notes issued | € 645 |
Constellium N.V. Senior Unsecured Notes (Issued February 2017, due 2025) [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Percentage of fair value senior notes issued | 106.00% |
Senior Notes issued | € 572 |
Constellium N.V. EUR and USD Senior Unsecured Notes (Issued November 2017, due 2026) [member] | |
Disclosure of detailed information about financial instruments [line items] | |
Percentage of fair value senior notes issued | 101.00% |
Senior Notes issued | € 828 |
Financial Instruments - Summ133
Financial Instruments - Summary of Derivatives Measured at Fair Value (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of financial instruments measured at fair value [line items] | ||
Other financial assets-derivatives | € 96 | € 100 |
Other financial liabilities-derivatives | 66 | 64 |
Level 1 of fair value hierarchy [member] | ||
Disclosure of financial instruments measured at fair value [line items] | ||
Other financial assets-derivatives | 46 | 6 |
Other financial liabilities-derivatives | 6 | 7 |
Level 2 of fair value hierarchy [member] | ||
Disclosure of financial instruments measured at fair value [line items] | ||
Other financial assets-derivatives | 50 | 94 |
Other financial liabilities-derivatives | € 60 | € 57 |
Financial Risk Management - Sum
Financial Risk Management - Summary of Nominal Value of Currency Derivatives (Detail) - Currency risk [member] EUR_ in Millions | Dec. 31, 2017EUR_ |
Forward derivatives sales - USD/EUR [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2023 |
Forward derivatives sales - EUR/CHF [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2022 |
forward derivatives sales - Other currencies [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2020 |
Forward derivatives purchases - USD/EUR [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2022 |
Forward derivatives purchases - EUR/CHF [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2022 |
Forward derivatives purchases - EUR/CZK [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2019 |
Forward derivatives purchases - Other currencies [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2,018 |
Less than 1 year [member] | Forward derivatives sales - USD/EUR [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 387 |
Less than 1 year [member] | Forward derivatives sales - EUR/CHF [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 49 |
Less than 1 year [member] | forward derivatives sales - Other currencies [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 16 |
Less than 1 year [member] | Forward derivatives purchases - USD/EUR [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 395 |
Less than 1 year [member] | Forward derivatives purchases - EUR/CHF [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 103 |
Less than 1 year [member] | Forward derivatives purchases - EUR/CZK [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 63 |
Less than 1 year [member] | Forward derivatives purchases - Other currencies [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 1 |
Over 1 year [member] | Forward derivatives sales - USD/EUR [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 376 |
Over 1 year [member] | Forward derivatives sales - EUR/CHF [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 19 |
Over 1 year [member] | forward derivatives sales - Other currencies [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 2 |
Over 1 year [member] | Forward derivatives purchases - USD/EUR [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 90 |
Over 1 year [member] | Forward derivatives purchases - EUR/CHF [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 35 |
Over 1 year [member] | Forward derivatives purchases - EUR/CZK [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal value | 62 |
Financial Risk Management - Add
Financial Risk Management - Additional Information (Detail) € in Millions, $ in Millions | 12 Months Ended | |||||
Dec. 31, 2017EUR (€) | Dec. 31, 2017USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016EUR (€) | Dec. 31, 2015EUR (€) | Dec. 31, 2014EUR (€) | |
Disclosure of credit risk [line items] | ||||||
Percentage borrowings denominated in fixed rate | 96.00% | 96.00% | ||||
Percentage of trade account receivables insured | 89.00% | 89.00% | ||||
Liquidity value | € 531 | |||||
Cash and cash equivalents | 269 | € 347 | € 472 | € 991 | ||
Undrawn facilities | 262 | |||||
Revolving credit facilities outstanding | 207 | |||||
Derivative classified as cash flow hedge [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Nominal amount hedging instrument | $ | $ 484 | |||||
Forward purchase contracts versus EURO [Member] | ||||||
Disclosure of credit risk [line items] | ||||||
Net position hedges related to loans and deposits | $ | $ 436 | |||||
Forward purchase contracts [member] | Cross currency swaps [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Net position hedges related to loans and deposits | $ | 870 | |||||
Forward sale contracts [member] | Foreign exchange forward contracts [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Net position hedges related to loans and deposits | $ | 294 | |||||
Forward sale contracts [member] | Cross currency swaps [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Net position hedges related to loans and deposits | $ | $ 140 | |||||
Pan US ABL facility (due 2022) [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Borrowing base | $ | $ 249 | |||||
Secured inventory based facility (due 2019) [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Borrowing base | 71 | |||||
10% increase or decrease in the market price [member] | Aluminium [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Impact of increase or decrease in market price in gain or loss from derivatives | € 35 | |||||
Bottom of range [member] | Derivative classified as cash flow hedge [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Maturity period | 2,018 | 2,018 | ||||
Top of range [member] | Derivative classified as cash flow hedge [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Maturity period | 2,022 | 2,022 | ||||
Top of range [member] | 50 basis point increase or decrease in the LIBOR or EURIBOR interest rates [member] | ||||||
Disclosure of credit risk [line items] | ||||||
Impact of increase or decrease in interest rate in income/loss before income tax | € 1 |
Financial Risk Management - 136
Financial Risk Management - Summary of Effect of Foreign Currency Derivatives Impacts and Commercial Transactions Exposures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gain on foreign currency derivatives-net | € (15) | € (46) | € (37) |
Unrealized gain on foreign currency derivatives-net | 17 | 40 | (10) |
Realized gain/(loss) in ineffective portion of derivatives | 0 | 0 | 0 |
Derivatives that do not qualify for hedge accounting [member] | Other gains and losses [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gain on foreign currency derivatives-net | (19) | (46) | (37) |
Unrealized gain on foreign currency derivatives-net | 16 | 40 | € (10) |
Derivatives that qualify for hedge accounting [member] | Other gains and losses [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gain on foreign currency derivatives-net | 3 | ||
Derivatives that qualify for hedge accounting [member] | Revenue [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gain on foreign currency derivatives-net | 1 | ||
Unrealized gain on foreign currency derivatives-net | 1 | ||
Derivatives that qualify for hedge accounting [member] | Other comprehensive income (loss) [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Unrealized gain on foreign currency derivatives-net | 48 | € (27) | |
Gain/loss reclassified from cash flow hedge reserve to profit and loss | € (2) |
Financial Risk Management - 137
Financial Risk Management - Summary of Effect of Foreign Currency Derivatives Impacts and Financing Transaction Exposures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gain / (loss) on foreign currency derivatives-net | € (15) | € (46) | € (37) |
Unrealized gain / (loss) on foreign currency derivatives-net | 17 | 40 | (10) |
Total | (79) | 45 | € 50 |
Currency risk [member] | Finance costs [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gain / (loss) on foreign currency derivatives-net | 31 | 15 | |
Unrealized gain / (loss) on foreign currency derivatives-net | (110) | 30 | |
Total | € (79) | € 45 |
Financial Risk Management - 138
Financial Risk Management - Summary of Impact on Profit and Equity (Before Tax Effect) of a 10 % Strengthening of US Dollar Versus Euro for Non US Dollar Functional Currency Entities (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | € 18 |
Effect on pretax equity | (43) |
10% strengthening US Dollar/Euro [member] | Commercial transaction exposure [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | 18 |
Effect on pretax equity | (43) |
Derivatives on commercial transaction [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on pretax equity | (43) |
Derivatives on commercial transaction [member] | 10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | 14 |
Effect on pretax equity | (43) |
Trade receivables [member] | 10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | 5 |
Trade payables [member] | 10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | (1) |
Cash in Bank and intercompany loans [member] | 10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | 103 |
Borrowings [member] | 10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | (144) |
Derivatives on financing transaction [member] | 10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | € 41 |
Financial Risk Management - 139
Financial Risk Management - Summary of Impact on Profit and Equity (Before Tax Effect) of a 10 % Strengthening of US Dollar Versus Euro for Non US Dollar Functional Currency Entities (Parenthetical) (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
Derivatives on commercial transaction [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on pretax equity | € (43) |
Financial Risk Management - 140
Financial Risk Management - Summary of Impact on Profit and Equity (before tax effect) of a 10 % strengthening of the US Dollar versus the Euro for US Dollar functional currency (Detail) - 10% strengthening US Dollar/Euro [member] € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | € (8) |
Effect on pretax equity | € 11 |
Financial Risk Management - 141
Financial Risk Management - Summary of Nominal Value of Commodity Derivatives (Detail) - Commodity price risk [member] € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
Aluminium [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2022 |
Premiums [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2018-2021 |
Copper [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2,018 |
Silver [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2,018 |
Natural gas [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2,018 |
Zinc [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity Period | 2,018 |
Less than 1 year [member] | Aluminium [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | € 335 |
Less than 1 year [member] | Premiums [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | 5 |
Less than 1 year [member] | Copper [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | 3 |
Less than 1 year [member] | Silver [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | 7 |
Less than 1 year [member] | Natural gas [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | 4 |
Less than 1 year [member] | Zinc [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | 10 |
Over 1 year [member] | Aluminium [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | 43 |
Over 1 year [member] | Premiums [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Nominal amount of derivatives | € 7 |
Financial Risk Management - 142
Financial Risk Management - Summary of Mark-to-market movements Recognized in Other Gains (Losses) - Net (Detail) - Commodity price risk [member] - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Realized gains / (losses) on commodity derivatives-net | € 16 | € (16) |
Unrealized gains / (losses) on commodity derivatives-net | € 41 | € 31 |
Financial Risk Management - 143
Financial Risk Management - Summary of Exposure to Financial Counterparties by Rating Type (Detail) € in Millions | Dec. 31, 2017EUR (€)Counterparty | Dec. 31, 2016EUR (€)Counterparty |
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 18 | 15 |
Exposure | € | € 295 | € 398 |
Rated Aa or better [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 3 | 3 |
Exposure | € | € 52 | € 13 |
Rated A [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 12 | 9 |
Exposure | € | € 224 | € 369 |
Rated Baa [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 3 | 3 |
Exposure | € | € 19 | € 16 |
Financial Risk Management - 144
Financial Risk Management - Summary of Exposure to Financial Counterparties by Rating Type (Parenthetical) (Detail) - EUR (€) € in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of nature and extent of risks arising from financial instruments [abstract] | ||
Credit exposure threshold amount | € 250 | € 250 |
Financial Risk Management - 145
Financial Risk Management - Summary of Undiscounted Contractual Values by Relevant Maturity Groupings (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Less than 1 year [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | € 65 | € 54 |
Financial liabilities | 1,110 | 1,084 |
Less than 1 year [member] | Borrowings [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 67 | 54 |
Less than 1 year [member] | Interests [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 103 | 170 |
Less than 1 year [member] | Net debt derivative liabilities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 3 | |
Less than 1 year [member] | Net cash flows from derivatives liabilities related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 17 | 35 |
Less than 1 year [member] | Trade payables and other (excluding deferred revenue) [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 920 | 825 |
Less than 1 year [member] | Net debt derivative assets [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 6 | 32 |
Less than 1 year [member] | Net cash flows from derivative assets related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 59 | 22 |
Between 1 and 5 years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 18 | 85 |
Financial liabilities | 780 | 1,901 |
Between 1 and 5 years [member] | Borrowings [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 318 | 1,329 |
Between 1 and 5 years [member] | Interests [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 421 | 490 |
Between 1 and 5 years [member] | Net debt derivative liabilities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 10 | |
Between 1 and 5 years [member] | Net cash flows from derivatives liabilities related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 11 | 63 |
Between 1 and 5 years [member] | Trade payables and other (excluding deferred revenue) [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 20 | 19 |
Between 1 and 5 years [member] | Net debt derivative assets [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 3 | 82 |
Between 1 and 5 years [member] | Net cash flows from derivative assets related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 15 | 3 |
More than 5 years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 1,956 | 1,127 |
More than 5 years [member] | Borrowings [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 1,692 | 999 |
More than 5 years [member] | Interests [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | € 264 | 125 |
More than 5 years [member] | Net cash flows from derivatives liabilities related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | € 3 |
Pensions and Other Post-empl146
Pensions and Other Post-employment Benefit Obligations - Additional Information (Detail) - EUR (€) € in Millions | 1 Months Ended | 12 Months Ended | ||
Jan. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of defined benefit plans [line items] | ||||
Increase / decrease in the discount rates | 0.50% | |||
Weighted-average maturity of defined benefit obligations | 14 years | 13 years 2 months 12 days | ||
Pensions [member] | ||||
Disclosure of defined benefit plans [line items] | ||||
Expected contributions to pension and other benefits | € 25 | |||
Other benefits [member] | ||||
Disclosure of defined benefit plans [line items] | ||||
Expected contributions to pension and other benefits | € 18 | |||
Switzerland [member] | ||||
Disclosure of defined benefit plans [line items] | ||||
Decrease in defined benefit obligation resulting from negative past service cost | € (12) | |||
United States [member] | ||||
Disclosure of defined benefit plans [line items] | ||||
Decrease in defined benefit obligation resulting from negative past service cost | € (8) |
Pensions and Other Post-empl147
Pensions and Other Post-employment Benefit Obligations - Summary of Sensitivity Analysis on Defined Benefit Obligations (Detail) € in Millions | Dec. 31, 2017EUR (€) |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | € (68) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | 76 |
France [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | (9) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | 10 |
Germany [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | (9) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | 10 |
Switzerland [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | (20) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | 23 |
United States [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | (30) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | € 33 |
Pensions and Other Post-empl148
Pensions and Other Post-employment Benefit Obligations - Summary of Actuarial Assumptions (Detail) | Dec. 31, 2017 | Dec. 31, 2016 |
Switzerland [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 1.50% | 1.65% |
Discount rate | 0.65% | 0.60% |
United States [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 3.80% | |
United States [member] | Hourly pension [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 2.20% | |
United States [member] | Salaried pension [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 3.80% | |
Discount rate | 3.80% | 4.45% |
United States [member] | Other post employment benefit [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 3.80% | |
United States [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 3.80% | |
France [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in pension | 2.00% | 2.00% |
France [member] | Retirements [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 1.50% | 1.60% |
France [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 1.20% | 1.30% |
Germany [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 2.75% | 2.75% |
Rate of increase in pension | 1.70% | 1.70% |
Discount rate | 1.60% | 1.65% |
Bottom of range [member] | United States [member] | Hourly pension [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 3.70% | 4.30% |
Bottom of range [member] | United States [member] | Other post employment benefit [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 3.70% | 4.20% |
Bottom of range [member] | United States [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 3.60% | 4.05% |
Bottom of range [member] | France [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 1.50% | 1.50% |
Top of range [member] | United States [member] | Hourly pension [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 3.75% | 4.35% |
Top of range [member] | United States [member] | Other post employment benefit [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 3.85% | 4.60% |
Top of range [member] | United States [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 3.70% | 4.20% |
Top of range [member] | France [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 1.75% | 1.75% |
Pensions and Other Post-empl149
Pensions and Other Post-employment Benefit Obligations - Summary of Actuarial Assumptions (Parenthetical) (Detail) | Dec. 31, 2017 |
2018 [member] | Pre 65 [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Medical trend rate | 7.00% |
2018 [member] | Post 65 [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Medical trend rate | 6.00% |
2026 [member] | Pre 65 [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Medical trend rate | 4.50% |
2026 [member] | Post 65 [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Medical trend rate | 4.50% |
Pensions and Other Post-empl150
Pensions and Other Post-employment Benefit Obligations - Summary of Amounts Recognized in the Consolidated Statement of Financial Position (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of variation in financial position [line items] | ||
Present value of funded obligation | € 691 | € 721 |
Fair value of plan assets | (387) | (391) |
Deficit of funded plans | 304 | 330 |
Present value of unfunded obligation | 360 | 405 |
Net liability arising from defined benefit obligation | 664 | 735 |
Pension benefits [member] | ||
Disclosure of variation in financial position [line items] | ||
Present value of funded obligation | 691 | 721 |
Fair value of plan assets | (387) | (391) |
Deficit of funded plans | 304 | 330 |
Present value of unfunded obligation | 110 | 132 |
Net liability arising from defined benefit obligation | 414 | 462 |
Other benefits [member] | ||
Disclosure of variation in financial position [line items] | ||
Present value of unfunded obligation | 250 | 273 |
Net liability arising from defined benefit obligation | € 250 | € 273 |
Pensions and Other Post-empl151
Pensions and Other Post-employment Benefit Obligations - Details of Movement in Net Defined Benefit Obligations (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of changes in financial position [line items] | ||
Beginning balance | € 735 | € 701 |
Closing balance | 664 | 735 |
Consolidated Income Statement [member] | ||
Disclosure of changes in financial position [line items] | ||
Current service cost | 24 | 26 |
Interest cost / (income) | 18 | 21 |
Past service cost | (20) | 1 |
Immediate recognition of gains/losses arising over the period | 1 | |
Administration expenses | 2 | 2 |
Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of changes in financial position [line items] | ||
- actual return less interest on plan assets | (36) | (14) |
- changes in financial assumptions | 37 | 34 |
- changes in demographic assumptions | (1) | (1) |
- experience (gains)/losses | (3) | |
Effects of changes in foreign exchange rates | (48) | 12 |
Consolidated Statement of Cash Flows [member] | ||
Disclosure of changes in financial position [line items] | ||
Benefits paid | (23) | (22) |
Contributions by the Group | (24) | (26) |
Other [member] | ||
Disclosure of changes in financial position [line items] | ||
Transfer | 3 | |
Defined benefit obligations [member] | ||
Disclosure of changes in financial position [line items] | ||
Beginning balance | 1,126 | 1,063 |
Closing balance | 1,051 | 1,126 |
Defined benefit obligations [member] | Consolidated Income Statement [member] | ||
Disclosure of changes in financial position [line items] | ||
Current service cost | 24 | 26 |
Interest cost / (income) | 27 | 31 |
Past service cost | (20) | 1 |
Immediate recognition of gains/losses arising over the period | 1 | |
Defined benefit obligations [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of changes in financial position [line items] | ||
- changes in financial assumptions | 37 | 34 |
- changes in demographic assumptions | (1) | (1) |
- experience (gains)/losses | (3) | |
Effects of changes in foreign exchange rates | (90) | 20 |
Defined benefit obligations [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of changes in financial position [line items] | ||
Benefits paid | (56) | (54) |
Contributions by the plan participants | 4 | 5 |
Defined benefit obligations [member] | Other [member] | ||
Disclosure of changes in financial position [line items] | ||
Transfer | 3 | |
Defined benefit obligations [member] | Pension benefits [member] | ||
Disclosure of changes in financial position [line items] | ||
Beginning balance | 853 | 802 |
Closing balance | 801 | 853 |
Defined benefit obligations [member] | Pension benefits [member] | Consolidated Income Statement [member] | ||
Disclosure of changes in financial position [line items] | ||
Current service cost | 18 | 20 |
Interest cost / (income) | 18 | 21 |
Past service cost | (16) | |
Defined benefit obligations [member] | Pension benefits [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of changes in financial position [line items] | ||
- changes in financial assumptions | 23 | 28 |
- changes in demographic assumptions | 2 | |
- experience (gains)/losses | 1 | |
Effects of changes in foreign exchange rates | (61) | 12 |
Defined benefit obligations [member] | Pension benefits [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of changes in financial position [line items] | ||
Benefits paid | (38) | (37) |
Contributions by the plan participants | 4 | 4 |
Defined benefit obligations [member] | Other benefits [member] | ||
Disclosure of changes in financial position [line items] | ||
Beginning balance | 273 | 261 |
Closing balance | 250 | 273 |
Defined benefit obligations [member] | Other benefits [member] | Consolidated Income Statement [member] | ||
Disclosure of changes in financial position [line items] | ||
Current service cost | 6 | 6 |
Interest cost / (income) | 9 | 10 |
Past service cost | (4) | 1 |
Immediate recognition of gains/losses arising over the period | 1 | |
Defined benefit obligations [member] | Other benefits [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of changes in financial position [line items] | ||
- changes in financial assumptions | 14 | 6 |
- changes in demographic assumptions | (1) | (3) |
- experience (gains)/losses | (4) | |
Effects of changes in foreign exchange rates | (29) | 8 |
Defined benefit obligations [member] | Other benefits [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of changes in financial position [line items] | ||
Benefits paid | (18) | (17) |
Contributions by the plan participants | 1 | |
Defined benefit obligations [member] | Other benefits [member] | Other [member] | ||
Disclosure of changes in financial position [line items] | ||
Transfer | 3 | |
Plan Assets [member] | ||
Disclosure of changes in financial position [line items] | ||
Beginning balance | (391) | (362) |
Closing balance | (387) | (391) |
Plan Assets [member] | Consolidated Income Statement [member] | ||
Disclosure of changes in financial position [line items] | ||
Interest cost / (income) | (9) | (10) |
Administration expenses | 2 | 2 |
Plan Assets [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of changes in financial position [line items] | ||
- actual return less interest on plan assets | (36) | (14) |
Effects of changes in foreign exchange rates | 42 | (8) |
Plan Assets [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of changes in financial position [line items] | ||
Benefits paid | 33 | 32 |
Contributions by the Group | (24) | (26) |
Contributions by the plan participants | € (4) | € (5) |
Pensions and Other Post-empl152
Pensions and Other Post-employment Benefit Obligations - Details of Net Defined Benefit Obligations by Country (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | € 1,051 | € 1,126 | |
Plan assets | (387) | (391) | |
Net defined benefit liability | 664 | 735 | € 701 |
France [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 148 | 144 | |
Plan assets | (3) | ||
Net defined benefit liability | 145 | 144 | |
Germany [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 142 | 147 | |
Plan assets | (1) | (1) | |
Net defined benefit liability | 141 | 146 | |
Switzerland [Member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 251 | 284 | |
Plan assets | (177) | (181) | |
Net defined benefit liability | 74 | 103 | |
United States [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 509 | 550 | |
Plan assets | (206) | (209) | |
Net defined benefit liability | 303 | 341 | |
Other countries [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 1 | 1 | |
Net defined benefit liability | € 1 | € 1 |
Pensions and Other Post-empl153
Pensions and Other Post-employment Benefit Obligations - Details of Plan Asset Categories (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of changes in financial position [line items] | ||
Cash and cash equivalents | € 3 | € 4 |
Equities | 160 | 158 |
Bonds | 174 | 178 |
Property | 37 | 41 |
Other | 13 | 10 |
Total fair value of plan assets | 387 | 391 |
Plan asset categories quoted in an active market [member] | ||
Disclosure of changes in financial position [line items] | ||
Cash and cash equivalents | 3 | 4 |
Equities | 160 | 158 |
Bonds | 81 | 82 |
Property | 8 | 10 |
Other | 5 | 5 |
Total fair value of plan assets | 257 | 259 |
Plan asset categories unquoted in an active market [member] | ||
Disclosure of changes in financial position [line items] | ||
Bonds | 93 | 96 |
Property | 29 | 31 |
Other | 8 | 5 |
Total fair value of plan assets | € 130 | € 132 |
Pensions and Other Post-empl154
Pensions and Other Post-employment Benefit Obligations - Summary of Benefits Payments Expected Paid Either by Pension Funds or Directly to Beneficiaries (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
Statement of financial position [abstract] | |
2,018 | € 52 |
2,019 | 52 |
2,020 | 52 |
2,021 | 55 |
2,022 | 56 |
2023 to 2027 | € 286 |
Provisions - Summary of Changes
Provisions - Summary of Changes in Provisions (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of other provisions [line items] | ||
Beginning balance | € 149 | € 163 |
Allowance | 25 | 13 |
Amounts used | (7) | (11) |
Unused amounts reversed | (5) | (16) |
Unwinding of discounts | (1) | 1 |
Reclassified to Pension liabilities | (3) | |
Effects of changes in foreign exchange rates | (8) | 2 |
Ending balance | 153 | 149 |
Current | 40 | 42 |
Non-Current | 113 | 107 |
Close down and environmental remediation costs [member] | ||
Disclosure of other provisions [line items] | ||
Beginning balance | 88 | 88 |
Allowance | 3 | |
Amounts used | (2) | (2) |
Unused amounts reversed | (1) | |
Unwinding of discounts | (1) | 1 |
Effects of changes in foreign exchange rates | (7) | 2 |
Ending balance | 81 | 88 |
Current | 4 | 3 |
Non-Current | 77 | 85 |
Restructuring costs [member] | ||
Disclosure of other provisions [line items] | ||
Beginning balance | 5 | 8 |
Allowance | 3 | 6 |
Amounts used | (2) | (5) |
Unused amounts reversed | (1) | (1) |
Reclassified to Pension liabilities | (3) | |
Ending balance | 5 | 5 |
Current | 3 | 3 |
Non-Current | 2 | 2 |
Legal claims and other costs [member] | ||
Disclosure of other provisions [line items] | ||
Beginning balance | 56 | 67 |
Allowance | 19 | 7 |
Amounts used | (3) | (4) |
Unused amounts reversed | (4) | (14) |
Effects of changes in foreign exchange rates | (1) | |
Ending balance | 67 | 56 |
Current | 33 | 36 |
Non-Current | € 34 | € 20 |
Provisions - Additional Informa
Provisions - Additional Information (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€) | |
Disclosure of other provisions [line items] | |
Change in discount rate | 0.50% |
Close down and environmental remediation costs [member] | |
Disclosure of other provisions [line items] | |
Average discount rate | 1.04% |
Change in discount rate | 0.50% |
Change in provision | € 2 |
Expected provisions settlement period | 40 years |
Provisions - Summary of Legal C
Provisions - Summary of Legal Claims and Other Costs (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of other provisions [line items] | |||
Total provisions for legal claims and other costs | € 153 | € 149 | € 163 |
Legal claims and other costs [member] | |||
Disclosure of other provisions [line items] | |||
Maintenance and customer related provisions | 25 | 14 | |
Litigation | 36 | 35 | |
Disease claims | 3 | 4 | |
Other | 3 | 3 | |
Total provisions for legal claims and other costs | € 67 | € 56 | € 67 |
Provisions - Summary of Lega158
Provisions - Summary of Legal Claims and Other Costs (Parenthetical) (Detail) € in Millions | 12 Months Ended | ||
Dec. 31, 2017EUR (€)Claim | Dec. 31, 2016EUR (€)Claim | Dec. 31, 2015EUR (€) | |
Disclosure of other provisions [line items] | |||
Provisions | € 153 | € 149 | € 163 |
Legal claims and other costs [member] | |||
Disclosure of other provisions [line items] | |||
Provisions | € 67 | 56 | € 67 |
Expected provisions settlement period | Five years | ||
Legal claims and other costs [member] | General equipment maintenance [member] | |||
Disclosure of other provisions [line items] | |||
Provisions | € 3 | 3 | |
Legal claims and other costs [member] | Customer litigation, product warranties and guarantees [member] | |||
Disclosure of other provisions [line items] | |||
Provisions | 16 | 7 | |
Legal claims and other costs [member] | Late delivery penalties [member] | |||
Disclosure of other provisions [line items] | |||
Provisions | € 6 | € 4 | |
Disease claims [member] | |||
Disclosure of other provisions [line items] | |||
Number of cases outstanding for disease claims | Claim | 7 | 11 | |
Disease claims [member] | Bottom of range [member] | |||
Disclosure of other provisions [line items] | |||
Latency period for acquiring diseases | 25 years | ||
Disease claims [member] | Top of range [member] | |||
Disclosure of other provisions [line items] | |||
Latency period for acquiring diseases | 40 years | ||
Average amount per claim outstanding | € 0.1 | ||
Average settlement amount per claim | € 0.1 | € 0.1 |
Share Capital - Additional Info
Share Capital - Additional Information (Detail) | Dec. 31, 2017EUR (€)€ / sharesshares |
Disclosure of classes of share capital [abstract] | |
Authorized share capital | € | € 8,000,000 |
Number of share authorized | shares | 400,000,000 |
Nominal value of per shares | € / shares | € 0.02 |
Share Capital - Schedule of Sha
Share Capital - Schedule of Share Capital (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2017EUR (€)shares | |
Disclosure of classes of share capital [line items] | |
Beginning balance | shares | 105,581,673 |
New shares issued | shares | 28,928,950 |
Ending balance | shares | 134,510,623 |
Beginning balance | € (570) |
Ending balance | (319) |
Share capital [member] | |
Disclosure of classes of share capital [line items] | |
Beginning balance | 2 |
New shares issued | 1 |
Ending balance | 3 |
Share premium [member] | |
Disclosure of classes of share capital [line items] | |
Beginning balance | 162 |
New shares issued | 258 |
Ending balance | € 420 |
Share Capital - Schedule of 161
Share Capital - Schedule of Share Capital (Parenthetical) (Detail) € in Millions | Nov. 03, 2017EUR (€)shares | Nov. 03, 2017$ / shares | Dec. 31, 2017EUR (€)shares |
Disclosure of classes of share capital [line items] | |||
Share issued | 28,928,950 | ||
Proceeds from issue of ordinary shares | € | € 259 | ||
Ordinary shares [member] | |||
Disclosure of classes of share capital [line items] | |||
Share issued | 28,750,000 | ||
Share issued price per share | $ / shares | $ 11 | ||
Proceeds from issue of ordinary shares | € | € 259 | ||
Share issuance, arrangement fees | € | € 12 | ||
Treasury shares held | 38,597 | ||
Employees [member] | Common shares [member] | |||
Disclosure of classes of share capital [line items] | |||
Share issued | 125,000 | ||
Board members [member] | Common shares [member] | |||
Disclosure of classes of share capital [line items] | |||
Share issued | 53,950 |
Commitments - Additional Inform
Commitments - Additional Information (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of operating lease [abstract] | |||
Rent expense | € 27 | € 27 | € 29 |
Commitments - Non Cancellable O
Commitments - Non Cancellable Operating Leases Commitments (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | € 108 | € 105 |
Less than 1 year [member] | ||
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | 19 | 17 |
Between 1 and 5 years [member] | ||
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | 49 | 40 |
More than 5 years [member] | ||
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | € 40 | € 48 |
Commitments - Capital Expenditu
Commitments - Capital Expenditures Commitments (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of capital expenditures commitments [line items] | ||
Capital expenditure commitments | € 101 | € 88 |
Computer software [member] | ||
Disclosure of capital expenditures commitments [line items] | ||
Capital expenditure commitments | 2 | 3 |
Property, plant and equipment [member] | ||
Disclosure of capital expenditures commitments [line items] | ||
Capital expenditure commitments | € 99 | € 85 |
Related Parties - Summary of Ke
Related Parties - Summary of Key Management Personnel Compensation (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of transactions between related parties [abstract] | |||
Short term employee benefits | € 8 | € 10 | € 8 |
Directors' fees | 1 | 1 | 1 |
Share-based compensation | 4 | 2 | 2 |
Post-employments benefits | 1 | ||
Termination benefits | 1 | 1 | 1 |
Employer social contribution | 1 | 2 | 1 |
Total | € 15 | € 16 | € 14 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) € in Millions | 12 Months Ended | ||
Dec. 31, 2017EUR (€)shares | Dec. 31, 2016EUR (€)shares | Dec. 31, 2015EUR (€) | |
Share Based Payment Plans [Line Items] | |||
Total expense related to the potential ordinary shares | € | € 8 | € 6 | € 5 |
PSU granted in 2016 first testing period [member] | |||
Share Based Payment Plans [Line Items] | |||
Potential additional shares to be vested | 186,059 | ||
Vesting date of additional shares | 2,019 | ||
Performance share units (PSUs) [member] | |||
Share Based Payment Plans [Line Items] | |||
Share based compensation, vesting period | 3 years | ||
Percentage of vesting multiplier | 100.00% | ||
Share based compensation, measurement period | 3 years | ||
Performance share units (PSUs) [member] | Bottom of range [member] | |||
Share Based Payment Plans [Line Items] | |||
Percentage of vesting multiplier | 0.00% | 0.00% | |
Percentage of vesting | 0.00% | ||
Performance share units (PSUs) [member] | Top of range [member] | |||
Share Based Payment Plans [Line Items] | |||
Percentage of vesting multiplier | 300.00% | 300.00% | |
Percentage of vesting | 200.00% | ||
Performance share units granted in November 2015 [member] | |||
Share Based Payment Plans [Line Items] | |||
Total Stockholders return percentage achieved | 251.10% | 118.20% | |
Potential additional shares to be vested | 366,669 | 47,229 | |
Vesting date of additional shares | November 2,018 | November 2,018 | |
Performance share units granted in March 2016 [member] | PSU granted in 2016 first testing period [member] | |||
Share Based Payment Plans [Line Items] | |||
Total Stockholders return percentage achieved | 115.90% | ||
Performance share units granted in August 2016 [member] | PSU granted in 2016 first testing period [member] | |||
Share Based Payment Plans [Line Items] | |||
Total Stockholders return percentage achieved | 191.60% | ||
Performance share units granted in November 2016(member) | PSU granted in 2016 first testing period [member] | |||
Share Based Payment Plans [Line Items] | |||
Total Stockholders return percentage achieved | 223.80% | ||
Restricted Stock Units [member] | |||
Share Based Payment Plans [Line Items] | |||
Vesting period on the grant date | 3 years | ||
Number of RSU granted | 150,000 | ||
Description of vesting requirements for share-based payment arrangement | In 2016, the Company also granted 150,000 RSUs which vest in equal installments on the first two anniversaries of the grant date, subject to continued employment, of which 75,000 vested on the first anniversary in 2017. | ||
Number of RSU vested | 75,000 | ||
Equity Awards Plans [member] | |||
Share Based Payment Plans [Line Items] | |||
Description of vesting requirements for share-based payment arrangement | Company Board members have been granted RSU awards annually since 2012. These RSUs vest in equal installments on the first two anniversaries of the date of grant, subject to their continued service. |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of PSUs (Detail) - Performance share units (PSUs) [member] - EUR (€) | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of Input of Model Used for Performance-Based RSU [Line Items] | ||
Fair value at grant date | € 11.52 | |
Share price at grant date | € 7.50 | |
Expected volatility | 75.00% | |
Risk-free interest rate (U.S. government bond yield) | 1.51% | |
Model used | Monte Carlo | Monte Carlo |
Bottom of range [member] | ||
Disclosure of Input of Model Used for Performance-Based RSU [Line Items] | ||
Fair value at grant date | € 6.76 | |
Share price at grant date | € 4.46 | |
Expected volatility | 69.00% | |
Risk-free interest rate (U.S. government bond yield) | 0.76% | |
Top of range [member] | ||
Disclosure of Input of Model Used for Performance-Based RSU [Line Items] | ||
Fair value at grant date | € 9.86 | |
Share price at grant date | € 5.61 | |
Expected volatility | 71.00% | |
Risk-free interest rate (U.S. government bond yield) | 1.27% |
Share-Based Compensation - S168
Share-Based Compensation - Summary of Weighted-Average Fair Value (Detail) | 12 Months Ended | |
Dec. 31, 2017EUR (€)shares | Dec. 31, 2016EUR (€)shares | |
Performance-Based RSU [member] | ||
Disclosure of movement of potential shares [line items] | ||
Potential Shares, Beginning balance | shares | 2,066,835 | 1,007,000 |
Potential Shares, Granted | shares | 892,781 | 1,292,000 |
Potential Shares, Over performance | shares | 552,728 | 47,229 |
Potential Shares, Forfeited | shares | (254,504) | (279,394) |
Potential Shares, Ending balance | shares | 3,257,840 | 2,066,835 |
Weighted- Average Grant-Date Fair Value per Share, Beginning balance | € | € 7.50 | € 7.77 |
Weighted- Average Grant-Date Fair Value per Share, Granted | € | 11.52 | 7.56 |
Weighted- Average Grant-Date Fair Value per Share, Over performance | € | 7.63 | 7.10 |
Weighted- Average Grant-Date Fair Value per Share, Forfeited | € | 8.29 | 8.71 |
Weighted- Average Grant-Date Fair Value per Share, Ending balance | € | € 8.56 | € 7.50 |
Restricted Stock Units [member] | ||
Disclosure of movement of potential shares [line items] | ||
Potential Shares, Beginning balance | shares | 479,500 | 269,500 |
Potential Shares, Granted | shares | 703,180 | 340,300 |
Potential Shares, Vested | shares | (125,000) | (87,300) |
Potential Shares, Forfeited | shares | (113,180) | (43,000) |
Potential Shares, Ending balance | shares | 944,500 | 479,500 |
Weighted- Average Grant-Date Fair Value per Share, Beginning balance | € | € 7.82 | € 16.10 |
Weighted- Average Grant-Date Fair Value per Share, Granted | € | 7.50 | 5.40 |
Weighted- Average Grant-Date Fair Value per Share, Vested | € | 7.02 | 19.75 |
Weighted- Average Grant-Date Fair Value per Share, Forfeited | € | 7.27 | 16.40 |
Weighted- Average Grant-Date Fair Value per Share, Ending balance | € | € 7.76 | € 7.82 |
Equity Awards Plans [member] | ||
Disclosure of movement of potential shares [line items] | ||
Potential Shares, Beginning balance | shares | 94,881 | 34,865 |
Potential Shares, Granted | shares | 54,409 | 81,858 |
Potential Shares, Vested | shares | (53,950) | (21,842) |
Potential Shares, Ending balance | shares | 95,340 | 94,881 |
Weighted- Average Grant-Date Fair Value per Share, Beginning balance | € | € 5.01 | € 14.11 |
Weighted- Average Grant-Date Fair Value per Share, Granted | € | 6.09 | 4.02 |
Weighted- Average Grant-Date Fair Value per Share, Vested | € | 5.76 | 15.84 |
Weighted- Average Grant-Date Fair Value per Share, Ending balance | € | € 5.20 | € 5.01 |
Share-Based Compensation - S169
Share-Based Compensation - Summary of Weighted-Average Fair Value (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2017shares | |
Disclosure of movement of potential shares [line items] | |
Performance based shares forfeited upon departure of certain beneficiaries | 175,837 |
Performance based shares forfeited upon non-fulfilment of performance conditions | 78,667 |
Performance share units (PSUs) [member] | |
Disclosure of movement of potential shares [line items] | |
Percentage of vesting multiplier | 100.00% |
Subsidiaries and Operating S170
Subsidiaries and Operating Segments - Summary of Group's Affiliates are Included in Consolidated Financial Statements (Detail) | 12 Months Ended |
Dec. 31, 2017 | |
Cross operating segment [member] | Constellium Singen GmbH [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Cross operating segment [member] | Constellium Valais S.A. [member] | |
Disclosure of subsidiaries [line items] | |
Country | Switzerland |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Automotive USA, LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Engley (Changchun) Automotive Structures Co Ltd. [member] | |
Disclosure of subsidiaries [line items] | |
Country | China |
Percentage Group Interest | 54.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Extrusions Decin S.r.o. [member] | |
Disclosure of subsidiaries [line items] | |
Country | Czech Republic |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Extrusions Deutschland GmbH [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Extrusions Landau GmbH [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Extrusions Burg GmbH [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Extrusions France S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Extrusions Levice S.r.o. [member] | |
Disclosure of subsidiaries [line items] | |
Country | Slovakia |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Automotive Mexico, S. DE R.L. DE C.V. [member] | |
Disclosure of subsidiaries [line items] | |
Country | Mexico |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Automotive Mexico Trading, S. DE R.L. DE C.V [member] | |
Disclosure of subsidiaries [line items] | |
Country | Mexico |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Astrex Inc [member] | |
Disclosure of subsidiaries [line items] | |
Country | Canada |
Percentage Group Interest | 50.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Automotive Zilina S.r.o. [member] | |
Disclosure of subsidiaries [line items] | |
Country | Slovakia |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Issoire [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Montreuil Juigne [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium China [member] | |
Disclosure of subsidiaries [line items] | |
Country | China |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Italy S.p.A [member] | |
Disclosure of subsidiaries [line items] | |
Country | Italy |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Japan KK [member] | |
Disclosure of subsidiaries [line items] | |
Country | Japan |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Rolled Products Ravenswood, LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Southeast Asia PTE LTD [member] | |
Disclosure of subsidiaries [line items] | |
Country | Singapore |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Ussel S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Deutschland GmbH [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Rolled Products Singen GmbH KG [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Property and Equipment Company LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Neuf Brisach [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Wise Metals Group LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Wise Alloys, LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Wise Alloys Funding LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Wise Alloys Funding II LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Listerhill total maintenance cetter LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Metal Procurement LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium-UACJ ABS LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 51.00% |
Consolidation Method | Equity |
P&ARP [member] | Rhenaroll [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 50.00% |
Consolidation Method | Equity |
Holdings & Corporate [member] | C-TEC Constellium Technology Center [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium Finance S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium France III [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium France Holdco S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium International [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium Paris S.A.S [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium Germany Holdco GmbH & Co. KG [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium Germany Verwaltungs GmbH [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium Holdco II B.V. [member] | |
Disclosure of subsidiaries [line items] | |
Country | Netherlands |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium UK Limited [member] | |
Disclosure of subsidiaries [line items] | |
Country | United Kingdom |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium U.S. Holdings I, LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | U.S. |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium Switzerland AG [member] | |
Disclosure of subsidiaries [line items] | |
Country | Switzerland |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium W S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Constellium Treuhand UG [member] | |
Disclosure of subsidiaries [line items] | |
Country | Germany |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Holdings & Corporate [member] | Engineered Products International S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
Parent Company - Statement of F
Parent Company - Statement of Financial Position of Constellium N.V. (Parent Company Only) (Detail) - EUR (€) € in Millions | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets | ||||
Cash and cash equivalents | € 269 | € 347 | € 472 | € 991 |
Trade receivables and other | 419 | 355 | ||
Other financial assets | 69 | 117 | ||
Total current assets | 1,400 | 1,410 | ||
Non-current assets | ||||
Property, plant and equipment | 1,517 | 1,477 | 1,255 | |
Total non-current assets | 2,311 | 2,377 | ||
Total Assets | 3,711 | 3,787 | ||
Current liabilities | ||||
Trade payables and other | 930 | 839 | ||
Other financial liabilities | 23 | 34 | ||
Total current liabilities | 1,110 | 1,035 | ||
Non-current liabilities | ||||
Borrowings | 2,021 | 2,361 | ||
Total non-current liabilities | 2,920 | 3,322 | ||
Total Liabilities | 4,030 | 4,357 | ||
Equity | ||||
Share capital | 3 | 2 | ||
Share premium | 420 | 162 | ||
Accumulated retained earnings | (750) | (743) | ||
Total Equity | (319) | (570) | (540) | (37) |
Total Equity and Liabilities | 3,711 | 3,787 | ||
Parent [member] | ||||
Current assets | ||||
Cash and cash equivalents | 0 | 0 | € 0 | € 0 |
Trade receivables and other | 53 | 233 | ||
Other financial assets | 28 | 33 | ||
Total current assets | 81 | 266 | ||
Non-current assets | ||||
Property, plant and equipment | 0 | 0 | ||
Financial assets | 2,143 | 1,508 | ||
Investments in subsidiaries | 131 | 111 | ||
Total non-current assets | 2,274 | 1,619 | ||
Total Assets | 2,355 | 1,885 | ||
Current liabilities | ||||
Trade payables and other | 6 | 3 | ||
Other financial liabilities | 22 | 35 | ||
Total current liabilities | 28 | 38 | ||
Non-current liabilities | ||||
Borrowings | 1,957 | 1,673 | ||
Total non-current liabilities | 1,957 | 1,673 | ||
Total Liabilities | 1,985 | 1,711 | ||
Equity | ||||
Share capital | 3 | 2 | ||
Share premium | 429 | 171 | ||
Accumulated retained earnings | (17) | (11) | ||
Other reserves | 25 | 18 | ||
Net (loss) for the year | (70) | (6) | ||
Total Equity | 370 | 174 | ||
Total Equity and Liabilities | € 2,355 | € 1,885 |
Parent Company - Statement of C
Parent Company - Statement of Comprehensive Income / (Loss) of Constellium N.V. (Parent Company Only) (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of condensed financial information of parent company [Line Items] | |||
Revenue | € 5,237 | € 4,743 | € 5,153 |
Gross profit | 539 | 516 | 450 |
Selling and administrative expenses | (248) | (254) | (245) |
Employee benefit expenses | (924) | (897) | (887) |
Income / (loss) from operations | 321 | 246 | (426) |
Financial result-net | (243) | (167) | (155) |
Income / (loss) before income tax | 49 | 65 | (584) |
Income tax | (80) | (69) | 32 |
Net loss | (31) | (4) | (552) |
Other comprehensive income | 15 | (30) | 41 |
Total comprehensive loss | (16) | (34) | (511) |
Parent [member] | |||
Disclosure of condensed financial information of parent company [Line Items] | |||
Revenue | 1 | 1 | |
Gross profit | 1 | 1 | |
Selling and administrative expenses | (5) | (8) | (7) |
Employee benefit expenses | (1) | ||
Loss from recurring operations | (5) | (7) | (7) |
Other income | 1 | ||
Other expenses | (3) | ||
Income / (loss) from operations | (5) | (7) | (9) |
Financial result-net | (65) | 1 | 9 |
Income / (loss) before income tax | (70) | (6) | |
Income tax | 0 | 0 | 0 |
Net loss | (70) | (6) | |
Other comprehensive income | 0 | 0 | € 0 |
Total comprehensive loss | € (70) | € (6) |
Parent Company - Statement o173
Parent Company - Statement of Cash Flows of Constellium N.V. (Parent Company Only) (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Disclosure of condensed financial information of parent company [Line Items] | |||
Net loss | € (31) | € (4) | € (552) |
Adjustments | |||
Finance costs-net | 243 | 167 | 155 |
Changes in working capital: | |||
Trade receivables and other | (91) | 28 | 343 |
Trade payables and other | 124 | (18) | (161) |
Net cash flows (used in) / from investing activities | (292) | (365) | (722) |
Proceeds from issuance of Senior Notes | 1,440 | 375 | |
Repayment of Senior Notes | (1,559) | (148) | |
Other | 10 | 8 | 45 |
Net cash flows from / (used in) financing activities | 61 | 145 | (165) |
Net (decrease) / increase in cash and cash equivalents | (71) | (132) | (519) |
Cash and cash equivalents-beginning of period | 347 | 472 | 991 |
Effect of exchange rate changes on cash and cash equivalents | (7) | 3 | 4 |
Cash and cash equivalents as reported in the Consolidated Statement of Financial Position | 269 | 347 | 472 |
Parent [member] | |||
Disclosure of condensed financial information of parent company [Line Items] | |||
Net loss | (70) | (6) | |
Adjustments | |||
Finance costs-net | 65 | (1) | (9) |
Dividend received | 0 | 0 | 0 |
Interest paid | (148) | (95) | (61) |
Interest received | 149 | 103 | 74 |
Changes in working capital: | |||
Trade receivables and other | (1) | 26 | |
Other financial liabilities | (1) | ||
Trade payables and other | 2 | (1) | (44) |
Net cash flows used in operating activities | (3) | (15) | |
Investments in subsidiaries | (11) | ||
Current account with subsidiary (for cash pooling) | 180 | (186) | 17 |
Loans granted to subsidiary and related parties | (1,640) | (375) | |
Repayment of loans granted to subsidiary and related parties | 823 | 181 | |
Exit fees received from Subsidiaries | 9 | ||
Net cash flows (used in) / from investing activities | (639) | (380) | 17 |
Net proceeds received from issuance of shares | 259 | ||
Proceeds from issuance of Senior Notes | 1,440 | 375 | |
Payment of deferred financing costs | (29) | (12) | (2) |
Repayment of Senior Notes | (949) | ||
Payment of exit fees | (61) | ||
Realized foreign exchange gains / (losses) | (17) | 17 | |
Other | (1) | ||
Net cash flows from / (used in) financing activities | 642 | 380 | (2) |
Net (decrease) / increase in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents-beginning of period | 0 | 0 | 0 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents as reported in the Consolidated Statement of Financial Position | € 0 | € 0 | € 0 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) € in Millions | Feb. 01, 2018EUR (€) | Dec. 31, 2017 | Jan. 31, 2018USD ($) |
Muscle Shoals factoring facility [member] | Factoring of receivables [member] | |||
Disclosure of non-adjusting events after reporting period [line items] | |||
Accounts receivable factoring agreement maturity date | Jan. 24, 2018 | ||
Events after reporting period [member] | Muscle Shoals factoring facility [member] | Factoring of receivables [member] | |||
Disclosure of non-adjusting events after reporting period [line items] | |||
Maximum borrowing capacity | $ | $ 375,000,000 | ||
Accounts receivable factoring agreement maturity date | Jan. 24, 2020 | ||
Disposal of leased assets [member] | Novelis [member] | |||
Disclosure of non-adjusting events after reporting period [line items] | |||
Purchase price transactions | € | € 200 |