Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2018shares | |
Document and entity information [abstract] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2018 |
Document Fiscal Year Focus | 2018 |
Document Fiscal Period Focus | FY |
Trading Symbol | CSTM |
Entity Registrant Name | Constellium N.V. |
Entity Central Index Key | 0001563411 |
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 Shell Company | false |
Entity Emerging Growth Company | false |
Entity Common Stock, Shares Outstanding | 135,999,394 |
Consolidated Income Statement
Consolidated Income Statement - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Profit or loss [abstract] | |||
Revenue | € 5,686 | € 5,237 | € 4,743 |
Cost of sales | (5,148) | (4,682) | (4,208) |
Gross profit | 538 | 555 | 535 |
Selling and administrative expenses | (247) | (247) | (253) |
Research and development expenses | (40) | (36) | (31) |
Restructuring costs | (1) | (4) | (5) |
Other gains / (losses)-net | 154 | 70 | 21 |
(Loss) / Income from operations | 404 | 338 | 267 |
Finance costs-net | (149) | (260) | (188) |
Share of loss of joint-ventures | (33) | (29) | (14) |
Income / (loss) before income tax | 222 | 49 | 65 |
Income tax expense | (32) | (80) | (69) |
Net income / (loss) | 190 | (31) | (4) |
Net income / (loss) attributable to: | |||
Equity holders of Constellium | 188 | (31) | (4) |
Non-controlling interests | 2 | ||
Net income / (loss) | € 190 | € (31) | € (4) |
Earnings per share attributable to the equity holders of Constellium | |||
Basic | € 1.40 | € (0.28) | € (0.04) |
Diluted | € 1.37 | € (0.28) | € (0.04) |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income / (Loss) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of comprehensive income [abstract] | |||
Net income / (loss) | € 190 | € (31) | € (4) |
Items that will not be reclassified subsequently to the consolidated income statement | |||
Remeasurement on post-employment benefit obligations | 24 | 12 | (20) |
Income tax on remeasurement on post-employment benefit obligations | (6) | (8) | 2 |
Items that may be reclassified subsequently to the consolidated income statement | |||
Cash flow hedges | (25) | 46 | (27) |
Net investment hedges | (4) | ||
Income tax on hedges | 8 | (15) | 9 |
Currency translation differences | 10 | (20) | 6 |
Other comprehensive income / (loss) | 7 | 15 | (30) |
Total comprehensive income / (loss) | 197 | (16) | (34) |
Attributable to: | |||
Equity holders of Constellium | 195 | (15) | (34) |
Non-controlling interests | 2 | (1) | |
Total comprehensive income / (loss) | € 197 | € (16) | € (34) |
Consolidated Statement of Finan
Consolidated Statement of Financial Position - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets | ||
Cash and cash equivalents | € 164 | € 269 |
Trade receivables and other | 587 | 419 |
Inventories | 660 | 643 |
Other financial assets | 30 | 69 |
Total current assets | 1,441 | 1,400 |
Non-current assets | ||
Property, plant and equipment | 1,666 | 1,517 |
Goodwill | 422 | 403 |
Intangible assets | 70 | 68 |
Investments accounted for under the equity method | 1 | 1 |
Deferred income tax assets | 163 | 164 |
Trade receivables and other | 64 | 48 |
Other financial assets | 74 | 110 |
Total non-current assets | 2,460 | 2,311 |
Total Assets | 3,901 | 3,711 |
Current liabilities | ||
Trade payables and other | 968 | 930 |
Borrowings | 57 | 106 |
Other financial liabilities | 60 | 23 |
Income tax payable | 8 | 11 |
Provisions | 46 | 40 |
Total current liabilities | 1,139 | 1,110 |
Non-current liabilities | ||
Trade payables and other | 27 | 54 |
Borrowings | 2,094 | 2,021 |
Other financial liabilities | 29 | 43 |
Pension and other post-employment benefit obligations | 610 | 664 |
Provisions | 94 | 113 |
Deferred income tax liabilities | 22 | 25 |
Total non-current liabilities | 2,876 | 2,920 |
Total Liabilities | 4,015 | 4,030 |
Equity | ||
Share capital | 3 | 3 |
Share premium | 420 | 420 |
Retained deficit and other reserves | (545) | (750) |
Equity attributable to equity holders of Constellium | (122) | (327) |
Non-controlling interests | 8 | 8 |
Total Equity | (114) | (319) |
Total Equity and Liabilities | € 3,901 | € 3,711 |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - EUR (€) € in Millions | Total | Share capital [member] | Share premium [member] | Re-measurement [member] | Reserve of cash flow hedges and net investment 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, 2015 | € (540) | € 2 | € 162 | € (133) | € 6 | € 11 | € (599) | € (551) | € 11 | |
Net income / (loss) | (4) | (4) | (4) | |||||||
Other comprehensive income / (loss) | (30) | (18) | € (18) | 6 | (30) | |||||
Total comprehensive income / (loss) | (34) | (18) | (18) | 6 | (4) | (34) | ||||
Transactions with equity holders 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 income / (loss) | (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 | ||||||
Transactions with equity holders Share-based compensation | 8 | 8 | 8 | |||||||
Ending balance (Restated [member]) at Dec. 31, 2017 | (321) | 3 | 420 | (147) | 13 | (7) | 25 | (636) | (329) | 8 |
Ending balance at Dec. 31, 2017 | (319) | 3 | 420 | (147) | 13 | (7) | 25 | (634) | (327) | 8 |
Change in accounting policies ending balance at Dec. 31,2018 | Change in accounting policies [member] | (2) | (2) | (2) | |||||||
Net income / (loss) | 190 | 188 | 188 | 2 | ||||||
Other comprehensive income / (loss) | 7 | 18 | (21) | 10 | 7 | |||||
Total comprehensive income / (loss) | 197 | 18 | (21) | 10 | 188 | 195 | 2 | |||
Share issuance | 0 | 0 | ||||||||
Transactions with equity holders Share-based compensation | 12 | 12 | 12 | |||||||
Transactions with non-controlling interests | (2) | (2) | ||||||||
Ending balance at Dec. 31, 2018 | € (114) | € 3 | € 420 | € (129) | € (8) | € 3 | € 37 | € (448) | € (122) | € 8 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flows - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Statement of cash flows [abstract] | |||
Net income / (loss) | € 190 | € (31) | € (4) |
Adjustments | |||
Depreciation and amortization | 197 | 171 | 155 |
Finance costs-net | 149 | 260 | 188 |
Income tax expense | 32 | 80 | 69 |
Share of loss of joint-ventures | 33 | 29 | 14 |
Unrealized losses / (gains) on derivatives-net and from remeasurement of monetary assets and liabilities-net | 86 | (54) | (74) |
(Gains) / losses on disposal | (186) | 3 | 10 |
Other - net | 14 | 7 | (14) |
Interest paid | (129) | (185) | (174) |
Income tax paid | (23) | (18) | (14) |
Change in trade working capital | |||
Inventories | (9) | (99) | (42) |
Trade receivables | (145) | (91) | 28 |
Trade payables | (27) | 124 | (18) |
Margin calls | (5) | ||
Change in provisions and pension obligations | (58) | (24) | (26) |
Other working capital | (53) | (12) | (10) |
Net cash flows from operating activities | 66 | 160 | 88 |
Purchases of property, plant and equipment | (277) | (276) | (355) |
Acquisition of subsidiaries net of cash acquired | 21 | ||
Proceeds from disposals net of cash | 200 | 2 | (5) |
Equity contribution and loan to joint-ventures | (24) | (41) | (37) |
Other investing activities | 10 | 23 | 11 |
Net cash flows used in investing activities | (91) | (292) | (365) |
Net proceeds received from issuance of shares | 259 | ||
Proceeds from issuance of Senior Notes | 1,440 | 375 | |
Repayment of Senior Notes | (1,559) | (148) | |
(Repayments) / proceeds from revolving credit facilities and other loans | (68) | 29 | (69) |
Payment of deferred financing costs and exit fees | (118) | (19) | |
Transactions with non-controlling interests | (2) | ||
Other financing activities | (14) | 10 | 8 |
Net cash flows (used in) / from financing activities | (82) | 61 | 145 |
Net (decrease) / increase in cash and cash equivalents | (107) | (71) | (132) |
Cash and cash equivalents-beginning of year | 269 | 347 | 472 |
Cash and cash equivalents classified as held for sale-beginning of year | 4 | ||
Effect of exchange rate changes on cash and cash equivalents | 2 | (7) | 3 |
Cash and cash equivalents-end of year | € 164 | € 269 | € 347 |
General Information
General Information | 12 Months Ended |
Dec. 31, 2018 | |
Text block [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, 2018 | |
Text block [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 11, 2019. 2.2 Application of new and revised IFRS The Group has adopted IFRS 15— Revenue from Contracts with Customers Financial Instruments Several other amendments and interpretations apply for the first time in 2018, but do not have any impact on the Consolidated Financial Statements of the Group. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective. IFRS 15 Revenue from Contracts with Customers IFRS 15 supersedes IAS 11— Construction Contracts Revenue The Group adopted IFRS 15 using the cumulative effect method of adoption at the date of initial application for contracts that were not completed at that date. There was no cumulative effect adjustment to the opening balance of retained earnings in the Consolidated Financial Statements of Financial Position as of January 1, 2018, as a result of the adoption of IFRS 15. The Group primarily contracts with customers for the sale of rolled or extruded aluminium products. For the majority of our business, performance obligations with customers begin when we acknowledge a purchase order for a specific customer order of product to be delivered in the near-term. These purchase orders are short-term in nature, although they may be governed by long-term multi-year frame agreements. The Group has concluded that revenue from sale of goods, measured at the fair value of the consideration received or receivable, should be recognized at the point in time when control of the asset is transferred to the customer, generally upon delivery, similar to the Group revenue recognition model under IAS 18. In certain limited circumstances, the Group may be required 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. This could result in recognizing revenue earlier than under prior IFRS rules which required recognition at a point in time for these transactions. However, as of the date of initial application and for the year ended December 31, 2018, IFRS 15 had no impact on the timing of our 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 for the amount the Group expects to be entitled to, generally upon delivery, and provided persuasive evidence that control has transferred. Upon adoption of IFRS 15, the Group made the following reclassifications in its opening financial position: (in millions of Euros) Carrying amount Contract liabilities Carrying amount Trade receivables and other 467 18 485 Trade payables and other (984 ) (41 ) (1,025 ) Provisions (153 ) 23 (130 ) Contract liabilities, which have been reclassified, consist of expected volume discounts, rebates, incentives, refunds and penalties and price concessions. Contract liabilities were previously presented as provisions or as a reduction in trade receivables. Contract liabilities as of December 31, 2018 are presented in NOTE 20—Trade payables and other. IFRS 9 Financial Instruments IFRS 9 replaces the provisions of IAS 39 that relate to the recognition, classification and measurement of financial assets and financial liabilities, derecognition of financial instruments, impairment of financial assets and hedge accounting. The adoption of IFRS 9— Financial Instruments i. Classification and measurement On January 1, 2018 (the date of initial application of IFRS 9), the Group’s management assessed which business models apply to the financial assets held by the group and classified its financial instruments into the appropriate IFRS 9 categories. The main effect results from the reclassification of Trade receivables from the Loan and receivables category to Fair value through OCI category (FVOCI), as receivables may be either held until collection or sold as part of factoring arrangements. There was no significant difference between the previous carrying amount and the fair value of the other financial assets as of January 1, 2018 to be recognized in opening retained earnings, as a result of their liquidity or short maturity. Consistent with IAS 39, derivatives are required to be held at Fair Value through Profit and Loss (FVPL) under IFRS 9 as they do not meet the criteria for amortized cost or FVOCI unless they are designated for hedge accounting. • Financial assets Financial assets are classified either: (a) at amortized cost, (b) at fair value through other comprehensive income (FVOCI), or (c) at fair value through profit or loss (FVPL). The classification depends on the financial asset’s contractual cash flow characteristics and the Group’s business model for managing the financial assets. Management determines the classification of Constellium’s financial assets at initial recognition. i. Assets at amortized cost are comprised of other receivables, non-current non-current ii. Assets at fair value through OCI are comprised of trade receivables in the Consolidated Statement of Financial Position. The business model is to maintain liquidity for the Group, should the need arise, which leads to sales through factoring agreements that are more than infrequent and significant in value. Therefore, trade receivables are managed under an objective that results in both collecting the contractual cash flows and selling the receivables to the factors. The portfolio of trade receivables is therefore classified as measured at fair value through OCI. Foreign exchange revaluation and impairment losses or reversals are recognized in profit or loss and computed in the same manner as for financial assets measured at amortized cost. The remaining fair value changes are recognized in OCI. Upon derecognition, the cumulative fair value change recognized in OCI is recycled to profit or loss. These assets are classified as current or non-current iii. Assets at fair value through profit or loss are comprised of derivatives 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. • 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. ii. Impairment of financial assets Financial assets subject to IFRS 9’s new expected credit loss model includes: cash and cash equivalents, trade receivables and other and loans to joint ventures. The impact of the change in impairment methodology on the Group’s retained earnings and equity is disclosed as follows: • For cash and cash equivalents, the identified impairment loss was immaterial. • For trade receivables and other (including contract assets and other receivables), the group applies the IFRS 9 simplified approach to measuring expected credit losses which uses a lifetime expected loss allowance for all trade receivables and contract assets. The application of the IFRS 9 expected credit loss model resulted in an immaterial impairment loss. • For loans to joint ventures the application of the amendment to IAS 28 and the IFRS 9 expected credit loss model resulted in the recognition of a loss allowance of €2 million in opening retained earnings net of tax (previous loss allowance was nil). iii. Hedging The Group did not adopt the disposition of IFRS 9 on hedging and will therefore continue to apply the provisions of IAS 39. (Refer to Note 2.6) iv. 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. 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 16— Leases The standard will replace IAS 17— Leases non-lease The group expects to recognize right-of-use 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 being evaluated. The Company expects no significant impact on its Consolidated Financial Statements from the effect of applying IFRIC 23. The interpretation is effective for annual years 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 financial position of the Group, its cash flows, liquidity position and borrowing facilities are described in the Consolidated Financial Statements respectively in NOTE 13—Cash and Cash Equivalents, NOTE 21—Borrowings and NOTE 23—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, 2018. This assessment was confirmed by the Board of Directors on March 11, 2019. 2.5 Presentation of the operating performance of each operating segment and of the Group In accordance with IFRS 8— Operating Segments 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 Statement 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 are accounted for under the equity method. Investments over which the Group has joint control are accounted for either as joint ventures under the equity method or as joint arrangements in relation to their interest in the joint operation. Joint venture 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 combinations 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 are included in Other gains / (losses)—net in the Consolidated Income Statement. Cash-generating units The reporting units (which generally correspond to industrial sites), the lowest level of the Group’s internal reporting, have been identified as 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 levels 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 usually covering 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 years. 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 year 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 exchange gains and losses that relate to borrowings and cash and cash equivalents are presented within Finance costs—net. Realized foreign exchange gains and losses that relate to commercial transactions are presented in Cost of sales. All other foreign exchange gains and losses, including those that relate to foreign currency derivatives hedging commercial transactions, are presented within Other gains / (losses)—net. 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: Year ended Year ended Year ended Foreign exchange rate for 1 Euro Average Closing Average Closing Average Closing U.S. Dollars USD 1.1798 1.1450 1.1273 1.1993 1.1063 1.0541 Swiss Francs CHF 1.1546 1.1269 1.1103 1.1702 1.0901 1.0739 Czech Koruna CZK 25.6452 25.7240 26.3151 25.5349 27.0342 27.0210 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) the 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; - 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; - 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. Derivatives financial instruments Derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently re-measured 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. 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 in ‘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. 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, that are directly attributable to the production process and production overheads). Trade account receivables Recognition and measurement Trade account receivables are recognized at fair value through OCI since they are managed under an objective that results in both collecting the contractual cash flows and selling the receivables to the factors. Prior to the adoption of IFRS 9, trade account receivables were recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, less impairment. In prior years, the impairment of trade receivables was assessed based on the incurred loss model. Individual receivables known to be uncollectible were written off by reducing the carrying amount directly. The other receivables were assessed collectively, to determine whether there was an objective evidence that an impairment had been incurred but not yet identified. 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 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 re |
Revenue
Revenue | 12 Months Ended |
Dec. 31, 2018 | |
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Revenue | NOTE 3—REVENUE 3.1 Disaggregation of revenue The following table presents our revenue by product line: (in millions of Euros) Year ended Year ended Year ended Packaging rolled products 2,245 2,146 2,003 Automotive rolled products 636 483 319 Specialty and other thin-rolled products 169 176 160 Aerospace rolled products 773 760 795 Transportation, Industry and other rolled products 566 541 484 Automotive extruded products 714 614 537 Other extruded products 573 504 456 Other 10 13 (11 ) Total Revenue 5,686 5,237 4,743 The following table presents our revenue by destination of shipment: (in millions of Euros) Year ended Year ended Year ended France 554 557 493 Germany 1,339 1,217 1,042 United Kingdom 175 188 203 Switzerland 77 123 86 Other Europe 1,038 940 798 United States 1,897 1,691 1,511 Canada 107 78 68 Asia and Other Pacific 300 270 292 All Other 199 173 250 Total Revenue 5,686 5,237 4,743 Revenue is recognized at a point in time, except for certain products representing less than 1% of total revenue with no alternative use for which we have a right to payment. 3.2 Transaction price allocated to remaining performance obligations The Company elected the practical expedient applicable to performance obligations that are part of contracts that have an original duration of one year or less. The transaction price allocated to remaining performance obligations that are part of contracts with an original duration of more than one year as of December 31, 2018 was immaterial. |
Operating Segment Information
Operating Segment Information | 12 Months Ended |
Dec. 31, 2018 | |
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Operating Segment Information | NOTE 4—OPERATING SEGMENT INFORMATION Management has defined Constellium’s operating segments based upon the 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. 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, including Bowling Green, in three countries and has approximately 3,800 employees at December 31, 2018. 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 approximately 4,000 employees at December 31, 2018. Automotive Structures and Industry (AS&I) AS&I focuses on specialty products and supplies a variety of hard and soft alloy extruded products, including a range of technically advanced products, to the automotive, rail, industrial, energy and building industries, and to manufacturers of mass transport vehicles and shipbuilders. AS&I operates sixteen facilities in nine countries and has approximately 4,500 employees at December 31, 2018. 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. 4.1 Segment Revenue Year ended December 31, 2018 Year ended December 31, 2017 Year ended December 31, 2016 (in millions of Euros) Segment Inter External Segment Inter External Segment Inter External P&ARP 3,059 (9 ) 3,050 2,812 (7 ) 2,805 2,498 (16 ) 2,482 A&T 1,389 (50 ) 1,339 1,335 (34 ) 1,301 1,302 (23 ) 1,279 AS&I 1,290 (3 ) 1,287 1,123 (5 ) 1,118 1,002 (9 ) 993 Holdings & Corporate (A) 10 — 10 13 — 13 (11 ) — (11 ) Total 5,748 (62 ) 5,686 5,283 (46 ) 5,237 4,791 (48 ) 4,743 (A) For the years ended December 31, 2018, 2017 and 2016, 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 4.2 Segment Adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (in millions of Euros) Notes Year ended Year ended Year ended P&ARP 243 204 204 A&T 152 146 118 AS&I 125 120 104 Holdings & Corporate (22 ) (22 ) (28 ) Adjusted EBITDA 498 448 398 Metal price lag (A) — 22 4 Start-up (B) (21 ) (17 ) (25 ) Manufacturing system and process transformation costs — (2 ) (5 ) Wise integration and acquisition costs — — (2 ) Wise one-time (C) — — (20 ) Wise purchase price adjustment (D) — — 20 Share-based compensation costs (12 ) (8 ) (6 ) Gains on pension plan amendments (E) 24 36 20 — Depreciation and amortization 16, 17 (197 ) (171 ) (155 ) Restructuring costs (1 ) (4 ) (5 ) Unrealized (losses) / gains on derivatives 8 (84 ) 57 71 Unrealized exchange (losses) / gains from the remeasurement of monetary assets and liabilities—net 8 — (4 ) 3 Gains / (losses) on disposals (F) 8 186 (3 ) (10 ) Other (G) (1 ) — (1 ) Income from operations 404 338 267 Finance costs—net 10 (149 ) (260 ) (188 ) Share of loss of joint-ventures 18 (33 ) (29 ) (14 ) Income before income tax 222 49 65 Income tax expense 11 (32 ) (80 ) (69 ) Net income 190 (31 ) (4 ) (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 year. (B) For the years ended December 31, 2018 and 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, 2018, the Group amended one of its OPEB plans in the US, which resulted in a €36 million gain. For the year ended December 31, 2017, amendments to certain Swiss pension plans, US pension plans and OPEB resulted in a €20 million gain. (F) In July 2018, Constellium completed the sale of the North Building assets of its Sierre plant in Switzerland to Novelis and contributed the Sierre site shared infrastructure to a joint-venture with Novelis, in exchange for cash consideration of €200 million. This transaction also resulted in the termination of the existing lease agreement for the North Building assets which had been leased and operated by Novelis since 2005. For the year ended December 31, 2018, the transaction generated a €190 million net gain (See NOTE 31 – Subsidiaries and operating segments). (G) For the year ended December 31, 2017, other includes €3 million of legal fees and lump-sum 5-year one-time 4.3 Segment capital expenditures (in millions of Euros) Year ended Year ended Year ended P&ARP (97 ) (115 ) (166 ) A&T (70 ) (73 ) (96 ) AS&I (105 ) (83 ) (84 ) Holdings & Corporate (5 ) (5 ) (9 ) Capital expenditures (277 ) (276 ) (355 ) 4.4 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, 2018 At December 31, 2017 P&ARP 1,791 1,629 A&T 831 769 AS&I 544 449 Holdings & Corporate 304 252 Segment assets 3,470 3,099 Unallocated: Deferred income tax assets 163 164 Cash and cash equivalents 164 269 Other financial assets 104 179 Total Assets 3,901 3,711 4.5 Information about major customers Revenue in the P&ARP segment from sales to the Group’s largest customer was €812 million for the year ended December 31, 2018. Revenue in the P&ARP segment from sales to the Group’s two largest customers was €1,364 million and €1,220 million for the years ended December 31, 2017 and 2016 respectively. No other single customer contributed 10% or more to the Group’s revenue for 2018, 2017 and 2016. |
Information by Geographic Area
Information by Geographic Area | 12 Months Ended |
Dec. 31, 2018 | |
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Information by Geographic Area | NOTE 5—INFORMATION BY GEOGRAPHIC AREA Property, plant and equipment are reported based on the physical location of the assets: (in millions of Euros) At December 31, 2018 At December 31, 2017 United States 740 681 France 613 586 Germany 181 156 Czech Republic 84 65 Other 48 29 Total 1,666 1,517 |
Expenses by Nature
Expenses by Nature | 12 Months Ended |
Dec. 31, 2018 | |
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Expenses by Nature | NOTE 6—EXPENSES BY NATURE (in millions of Euros) Year ended Year ended Year ended Raw materials and consumables used (3,561 ) (3,197 ) (2,792 ) Employee benefit expenses (927 ) (907 ) (876 ) Energy costs (140 ) (138 ) (140 ) Sub-contractors (92 ) (99 ) (108 ) Freight out costs (143 ) (124 ) (128 ) Professional fees (74 ) (77 ) (85 ) Operating lease expenses (31 ) (27 ) (27 ) Depreciation and amortization (197 ) (171 ) (155 ) Other operating expenses (271 ) (229 ) (186 ) Other gains / (losses)—net 154 70 21 Total operating expenses (5,282 ) (4,899 ) (4,476 ) |
Employee Benefit Expenses
Employee Benefit Expenses | 12 Months Ended |
Dec. 31, 2018 | |
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Employee Benefit Expenses | NOTE 7—EMPLOYEE BENEFIT EXPENSES (in millions of Euros) Notes Year ended Year ended Year ended Wages and salaries (889 ) (872 ) (841 ) Pension costs—defined benefit plans 24 (20 ) (21 ) (22 ) Other post-employment benefits 24 (6 ) (6 ) (7 ) Share-based compensation 30 (12 ) (8 ) (6 ) Total employee benefit expenses (927 ) (907 ) (876 ) |
Other Gains _ (Losses)-Net
Other Gains / (Losses)-Net | 12 Months Ended |
Dec. 31, 2018 | |
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Other Gains / (Losses)-Net | NOTE 8—OTHER GAINS / (LOSSES)—NET (in millions of Euros) Notes Year ended Year ended Year ended Realized gains / (losses) on derivatives (A) 14 — (62 ) Unrealized (losses) / gains on derivatives at fair value through profit and loss—net (A) 4 (84 ) 57 71 Unrealized exchange (losses) / gains from the remeasurement of monetary assets and liabilities—net 4 — (4 ) 3 Gains on pension plan amendments (B) 24 36 20 — Gains / (losses) on disposal (C) 186 (3 ) (10 ) Wise purchase price adjustment (D) — — 20 Other 2 — (1 ) Total other gains / (losses)—net 154 70 21 (A) Realized gains and losses are related to derivatives entered into with the purpose of mitigating exposure to volatility in foreign currencies and commodity prices. Unrealized gains and losses are related to derivatives that do not qualify for hedge accounting. (B) For the year ended December 31, 2018, the Group amended one of its OPEB plans in the US, which resulted in a €36 million gain. For the year ended December 31, 2017, amendments to certain Swiss pension plans, US pension plans and OPEB resulted in a €20 million gain. (C) In July 2018, Constellium completed the sale of the North Building assets of its Sierre plant in Switzerland to Novelis and contributed the Sierre site shared infrastructure to a joint-venture with Novelis, in exchange for cash consideration of €200 million. This transaction also resulted in the termination of the existing lease agreement for the North Building assets which had been leased and operated by Novelis since 2005. For the year ended December 31, 2018, the transaction generated a €190 million net gain (See NOTE 31—Subsidiaries and operating segments). (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 €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, 2018 | |
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Currency Gains / (Losses) | NOTE 9—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 23 2 2 — Included in Cost of sales 2 (4 ) 4 Included in Other gains / (losses)—net 7 (4 ) (3 ) Total 11 (6 ) 1 Realized exchange gains / (losses) on foreign currency derivatives—net 23 11 (15 ) (46 ) Unrealized (losses) / gains on foreign currency derivatives—net 23 (3 ) 17 40 Exchange gains / (losses) from the remeasurement of monetary assets and liabilities—net 3 (8 ) 7 Total 11 (6 ) 1 See NOTE 22—Financial Instruments and NOTE 23—Financial Risk Management for further information regarding the Company’s foreign currency derivatives and hedging activities. Foreign currency translation reserve (in millions of Euros) At At Foreign currency translation reserve at January 1 (7 ) 12 Effect of currency translation differences 10 (19 ) Foreign currency translation reserve at December 31 3 (7 ) |
Finance Costs-Net
Finance Costs-Net | 12 Months Ended |
Dec. 31, 2018 | |
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Finance Costs-Net | NOTE 10—FINANCE COSTS—NET (in millions of Euros) Year ended Year ended Year ended Interest received 7 7 5 Finance income 7 7 5 Interest expense on borrowings (A) (118 ) (147 ) (171 ) Expenses on factoring arrangements (18 ) (16 ) (12 ) Interest expense on finance leases (5 ) (3 ) (4 ) Net loss on settlement of debt (B) — (91 ) (4 ) Realized and unrealized gains / (losses) on debt derivatives at fair value (C) 28 (79 ) 45 Realized and unrealized exchange (losses) / gains on financing activities—net (C) (22 ) 91 (42 ) Interest cost on pension and other benefits (15 ) (17 ) (21 ) Other finance expenses (D) (10 ) (12 ) 5 Capitalized borrowing costs (E) 4 7 11 Finance expenses (156 ) (267 ) (193 ) Finance costs—net (149 ) (260 ) (188 ) (A) For the year ended December 31, 2018, the Group incurred mainly (i) €113 million of interest related to Constellium N.V. Senior Notes and (ii) €4million of interest expense and fees related to the Muscle Shoals and Ravenswood ABL Facility (“Pan US ABL”). 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 ABL Facilities. (B) For the year ended December 31, 2017, net loss on settlement of debt related to (i) the Muscle Shoals Senior Notes redemption in February 2017 for €13 million and (ii) the Constellium N.V. Senior Notes redemption in November 2017 for €78 million. The total exit fees incurred and paid related to refinancings in 2017 amounted to €88 million. (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) For the year ended December 31, 2018, other finance expenses include a €6 million net loss resulting from the modification of our loan to Constellium-UACJ in February 2018. (E) Borrowing costs directly attributable to the construction of assets are capitalized. The capitalization rate used for the years ended December 31, 2018 and 2017 was 6%. The capitalization rate was 7% for the year ended December 31, 2016. |
Income Tax
Income Tax | 12 Months Ended |
Dec. 31, 2018 | |
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Income Tax | NOTE 11—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 (30 ) (26 ) (19 ) Deferred tax expense (2 ) (54 ) (50 ) Total income tax expense (32 ) (80 ) (69 ) Using a composite statutory income tax rate applicable by tax jurisdiction, the income tax can be reconciled as follows: (in millions of Euros) Year ended Year ended Year ended Income before income tax 222 49 65 Composite statutory income tax rate applicable by tax jurisdiction 24.1 % 31.9 % 24.9 % Income tax (expense) / benefit calculated at composite statutory tax rate applicable by tax jurisdiction (53 ) (16 ) (16 ) Tax effect of: Changes in recognized and unrecognized deferred tax assets (A) 30 (61 ) (45 ) Change in tax rate (B) — (11 ) (6 ) Other (9 ) 8 (2 ) Income tax expense (32 ) (80 ) (69 ) Effective income tax rate 14 % 163 % 106 % (A) For the year ended December 31, 2018, changes in recognized and unrecognized deferred tax assets mainly relate to non-recurring (B) For the year ended December 31, 2017, the change in tax rate relates mainly to the decrease in the US income tax rate from 40% to 27% for €16 million and to the gradual decrease in the French tax rate to 25.82% starting 2022. For the year ended December 31, 2016, the change in tax rate relates to the French income tax rate decrease from 34.43% to 28.92% starting in 2020, enacted by 2016 Financial Tax bill. Our composite statutory income tax rate of 24.1% for the year ended December 31, 2018, 31.9% for the year ended December 31, 2017 and 24.9% for the year ended December 31, 2016 resulted from the statutory tax rates (i) in the United States of 26% in 2018 and 40% in 2017 and 2016, (ii) in France of 34.43% in 2018, 39.2% in 2017 and 34.43% in 2016 (iii) in Germany of 29%, for each of the last three years (iv) in the Netherlands of 25%, for each of the last three years and (v) in Czech Republic of 19%, for each of the last three years. The variation in our composite tax rate mainly results from the geographical mix of our pre-tax The decrease in our composite tax rate from 31.9% in 2017 to 24.1% in 2018 is mostly related to the sale of the North Building of the Sierre plant in Switzerland. The increase in our composite tax rate from 24.9% in 2016 to 31.9% in 2017 is mostly related to the increase of pre-tax |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2018 | |
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Earnings Per Share | NOTE 12—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 188 (31 ) (4 ) 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 134,761,736 110,164,320 105,500,327 Effect of other dilutive potential ordinary shares (A) 3,384,178 — — Weighted average number of ordinary shares used to calculate diluted earnings per share 138,145,914 110,164,320 105,500,327 (A) For the years ended December 31, 2017 and 2016, there were 3,291,875 and 411,902 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 1.40 (0.28 ) (0.04 ) Diluted 1.37 (0.28 ) (0.04 ) |
Cash and Cash Equivalents
Cash and Cash Equivalents | 12 Months Ended |
Dec. 31, 2018 | |
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Cash and Cash Equivalents | NOTE 13—CASH AND CASH EQUIVALENTS (in millions of Euros) At December 31, 2018 At December 31, 2017 Cash in bank and on hand 164 269 Total Cash and cash equivalents 164 269 At December 31, 2018, cash in bank and on hand includes a total of €18 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. At December 31, 2017 the amount subject to these restrictions was €12 million. |
Trade Receivables and Other
Trade Receivables and Other | 12 Months Ended |
Dec. 31, 2018 | |
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Trade Receivables and Other | NOTE 14—TRADE RECEIVABLES AND OTHER Trade receivables and other are comprised of the following: At December 31, 2018 At December 31, 2017 (in millions of Euros) Non-current Current Non-current Current Trade receivables—gross — 483 — 309 Impairment — (2 ) — (3 ) Total Trade receivables—net — 481 — 306 Finance lease receivables — — 6 6 Current income tax receivables 28 43 — 58 Other taxes — 33 — 30 Unbilled tooling costs (until December 31, 2017) — — 28 — Contract assets (from January 1, 2018) 28 2 — — Prepaid expenses 1 12 5 8 Restricted cash — — 1 — Other 7 16 8 11 Total Other receivables 64 106 48 113 Total Trade receivables and Other 64 587 48 419 14.1 Contract assets At December 31, 2018 At January 1, 2018 (in millions of Euros) Non-current Current Non-current Current Unbilled tooling costs 26 — 28 — Other 2 2 4 1 Total Contract assets 28 2 32 1 14.2 Aging The aging of total trade receivables—net is as follows: (in millions of Euros) At December 31, 2018 At December 31, 2017 Not past due 453 286 1 – 30 days past due 23 13 31 – 60 days past due 2 2 61 – 90 days past due 2 3 Greater than 91 days past due 1 2 Total Trade receivables—net 481 306 Impairment allowance Revisions to the impairment allowance arising from changes in estimates are included as either additional allowance or recoveries. An allowance was reversed for €1.1 million during the year ended December 31, 2018 (€0.7 million allowance recognized during the year ended December 31, 2017). None of the other amounts included in Other receivables were 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. 14.3 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, 2018 At December 31, 2017 Euro 177 124 U.S. Dollar 284 164 Swiss franc 4 4 Other currencies 16 14 Total Trade receivables—net 481 306 14.4 Factoring arrangements The Group factors trade receivables in France by entering into factoring agreements with a third party for a maximum capacity of €235 million. This agreement matures on October 29, 2021. The Group factors trade 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 on 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 facility was amended, on December 11, 2018, to increase maximum capacity to $33 million and to extend the maturity to December 11, 2019. Muscle Shoals entered into a factoring agreement which provides for the sale of specific trade receivables up to a maximum capacity of $375 million. The agreement matures on January 24, 2020. Under the Group’s factoring agreements, most of the trade receivables are sold without recourse. Where the Group has transferred substantially all the risks and rewards of ownership of the receivables, the receivables are derecognized. Some remaining receivables do not qualify for derecognition under IFRS 9 - Financial Instruments, Under the agreements, at December 31, 2018, the total carrying amount of the original assets factored is €601 million (December 31, 2017: €642 million) of which: • €446 million (December 31, 2017: €473 million) have been derecognized from the Consolidated Statement of Financial Position as the Group transferred substantially all of the associated risks and rewards to the factor; • €155 million (December 31, 2017: €169 million) were recognized on the Consolidated Statement of Financial Position. There was no debt due to the factor relating to trade account receivables sold at December 31, 2018 and December 31, 2017. Covenants The factoring arrangements contain certain customary affirmative 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, 2018 and December 31, 2017. 14.5 Finance lease receivables The Company was the lessor for certain finance leases with third parties for certain of its property, plant and equipment located in Sierre, Switzerland until July 2018. The finance lease receivables amounted to €12 million for the year ended December 31, 2017. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2018 | |
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Inventories | NOTE 15—INVENTORIES (in millions of Euros) At December 31, 2018 At December 31, 2017 Finished goods 165 164 Work in progress 347 332 Raw materials 112 111 Stores and supplies 67 64 Inventories write down (31 ) (28 ) Total inventories 660 643 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, 2018 | |
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Property, Plant and Equipment | NOTE 16—PROPERTY, PLANT AND EQUIPMENT (in millions of Euros) Land and Buildings Machinery Construction Other Total Net balance at January 1, 2018 14 206 1,089 198 10 1,517 Additions 1 5 98 195 4 303 Disposals — — (6 ) — — (6 ) Depreciation expense (4 ) (13 ) (161 ) — (6 ) (184 ) Transfer during the year 6 16 181 (202 ) 2 3 Effects of changes in foreign exchange rates 1 3 26 3 — 33 Net balance at December 31, 2018 18 217 1,227 194 10 1,666 Cost 33 349 2,000 200 35 2,617 Less accumulated depreciation and impairment (15 ) (132 ) (773 ) (6 ) (25 ) (951 ) Net balance at December 31, 2018 18 217 1,227 194 10 1,666 (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 year — 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 Building, machinery and equipment includes the following amounts where the Group is a lessee under a finance lease: At December 31, 2018 At December 31, 2017 (in millions of Euros) Gross Accumulated Net Gross Accumulated Net Building under finance lease 31 (7 ) 24 30 (5 ) 25 Machinery and equipment under finance lease 79 (26 ) 53 62 (27 ) 35 Total 110 (33 ) 77 92 (32 ) 60 The future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2018 At December 31, 2017 Less than 1 year 20 15 1 to 5 years 50 37 More than 5 years 16 19 Total 86 71 The present value of future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2018 At December 31, 2017 Less than 1 year 17 14 1 to 5 years 42 30 More than 5 years 14 16 Total 73 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 Year ended Year ended Cost of sales (184 ) (160 ) (147 ) Selling and administrative expenses (9 ) (8 ) (6 ) Research and development expenses (4 ) (3 ) (2 ) Total (197 ) (171 ) (155 ) The amount of contractual commitments for the acquisition of property, plant and equipment is disclosed in NOTE 28—Commitments. Impairment tests for property, plant and equipment and intangibles assets No triggering events were identified at December 31, 2018, 2017 and 2016 regarding our cash-generating units. |
Intangible Assets (Including Go
Intangible Assets (Including Goodwill) | 12 Months Ended |
Dec. 31, 2018 | |
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Intangible Assets (Including Goodwill) | NOTE 17—INTANGIBLE ASSETS (INCLUDING GOODWILL) (in millions of Euros) Goodwill Technology Computer Customer Work in Other Total intangible (excluding Net balance at January 1, 2018 403 24 18 15 9 2 68 Additions — — 2 — 8 1 11 Amortization expense — (3 ) (8 ) (1 ) — (1 ) (13 ) Transfer during the year — — 5 — (5 ) — — Effects of changes in foreign exchange rates 19 1 1 1 1 — 4 Net balance at December 31, 2018 422 22 18 15 13 2 70 Cost 422 84 65 39 13 3 204 Less accumulated amortization and impairment — (62 ) (47 ) (24 ) — (1 ) (134 ) Net balance at December 31, 2018 422 22 18 15 13 2 70 (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 year — 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 Impairment tests for goodwill Goodwill in the amount of €422 million has been allocated to the Group’s operating segment Packaging and Automotive Rolled Products (“P&ARP”) for €415 million, Aerospace and Transportation (“A&T”) for €5 million and Automotive Structures and Industry (“AS&I”) for €2 million. At December 31, 2018, the recoverable amount of the A&T and AS&I operating segments has been determined based on value in use calculations and significantly exceeds their carrying value. No reasonable change in the assumptions used 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 – Fair Value Measurement The projected future cash flows are based on the 2019-2025 medium and long term business plan approved by the management and reviewed by the Board of Directors. Considering the Automotive Body Sheet cash inflows ramping-up 7-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 year 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 year 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. 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 4% would result in the recoverable value equaling the carrying value. - Automotive Body Sheet shipments: 45% 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, 2018 | |
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Investments Accounted for Under Equity Method | NOTE 18—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 December 31, 2018 Year ended December 31, 2017 At January 1, 1 16 Group share in loss (33 ) (29 ) Additions — — Reclassified to non-current 33 14 Effects of changes in foreign exchange rates — — At December 31 1 1 At December 31, 2018, 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. Constellium’s accumulated share of the losses of joint-ventures, in excess of the initial investment, is thus recognized against other financial assets for a cumulative amount of €49 million at December 31, 2018, of which €33 million was recognized during the year ended December 31, 2018. Group share of joint venture’s net assets Group share of joint venture’s profit / (loss) (in millions of Euros) % interest At December 31, 2018 At December 31, 2017 At December 31, 2018 At December 31, 2017 Constellium-UACJ ABS LLC (A) 51.00 % (49 ) (14 ) (33 ) (29 ) Rhenaroll S.A. (B) 49.85 % 1 1 — — Group share (48 ) (13 ) (33 ) (29 ) Reclassified to non-current 49 14 — — Investment in joint venture 1 1 (33 ) (29 ) 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 in 2016. We have determined that, under the terms of the joint venture agreement, we do not control Constellium- UACJ ABS LLC because our existing rights associated with the decision-making process do not give us the ability to direct the relevant activities of the joint venture unilaterally and as a result, Constellium does not have power over the joint venture as of December 31, 2018. (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’ roll and rollers. 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 Consolidated 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, 2018 At December 31, 2017 Current assets Cash and cash equivalents 8 5 Trade receivables and other 49 35 Inventories 68 57 Non-current Property, plant and equipment 166 161 Intangible assets — 1 Total Assets 291 259 Current liabilities Trade payables and other 79 34 Borrowings (A) 36 206 Non-current Borrowings (A) 271 47 Equity (95 ) (28 ) Total Equity and Liabilities 291 259 (A) In February 2018, the shareholders agreed to modify the terms of their loan to Constellium-UACJ ABS LLC by reducing the interest rate and extending the maturity to March 31, 2023. (in millions of Euros) Year ended December 31, 2018 Year ended December 31, 2017 Revenue 262 123 Cost of sales (309 ) (151 ) Selling and administrative expenses (10 ) (14 ) Loss from operations (57 ) (42 ) Finance costs (A) (7 ) (15 ) Net loss (64 ) (57 ) (A) Finance costs include a €11 million gain related to the shareholders’ loan modification for the year ended December 31, 2018. Constellium subsidiaries’ intercompany balances with Constellium-UACJ ABS LLC The transactions during the years and the year-end (in millions of Euros) At December 31, 2018 At December 31, 2017 Trades receivables and other—current 38 15 Other financial assets (A) 69 83 (A) Other financial assets correspond to the loan to Constellium-UACJ ABS LLC as of December 31, 2018 and 2017. As of December 31, 2018, the carrying value of the loan is €118 million (€97 million at December 31, 2017). The carrying value is presented net of €49 million of Constellium’s share of losses of joint venture (€ 14 million at December 31, 2017). (in millions of Euros) Year ended Year ended Revenue 169 59 Cost of sales (19 ) — Fees and recharges (A) 4 3 Finance income 4 6 (A) 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) Year ended Year ended Financial guarantees 11 11 Loan facility commitment 3 — Supplier guarantees 3 3 |
Deferred Income Taxes
Deferred Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
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Deferred Income Taxes | NOTE 19—DEFERRED INCOME TAXES (in millions of Euros) At December 31, 2018 At December 31, 2017 Deferred income tax assets 163 164 Deferred income tax liabilities (22 ) (25 ) Net deferred income tax assets 141 139 The following tables show the changes in net deferred income tax assets / (liabilities) for the years ended December 31, 2018 and 2017. (in millions of Euros) At January 1, Recognized in FX At December 31, Profit or loss OCI Long-term assets (76 ) (15 ) — (3 ) (94 ) Inventories 4 1 — — 5 Pensions 130 (12 ) (7 ) 5 116 Derivative valuation (20 ) 22 8 2 12 Tax losses carried forward 78 (13 ) — (4 ) 61 Other (A) 23 15 — 3 41 Total 139 (2 ) 1 3 141 (A) Mainly non-deductible (in millions of Euros) At January 1, Recognized in FX 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 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. Based on the expected taxable income of the entities, the Group believes that it is more likely than not that a total of €1,257 million (€1,393 million at December 31, 2017) 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 €321 million (€356 million at December 31, 2017) is attributable to the following: (in millions of Euros) At December 31, 2018 At December 31, 2017 Expiring within 5 years (45 ) (69 ) Expiring after 5 years and limited (89 ) (96 ) Unlimited (19 ) (18 ) Tax losses (153 ) (183 ) Long-term assets (107 ) (116 ) Pensions (18 ) (20 ) Other (43 ) (37 ) Deductible temporary differences (168 ) (173 ) Total (321 ) (356 ) Substantially all of the tax losses not expected to be used reside in the Netherlands and the United States as of December 31, 2018. The holding company in the Netherlands has been generating tax losses over the past seven years. The holding company is 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 2027. The tax loss carryforwards limited to 20 years generated at one of our main operating entities in the United States are not expected to be utilized. 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 has significant non-cash The unrecognized tax loss carried forwards generated by our Swiss operating entity were used during the period following the sale of the North Building of the Sierre plant and termination of existing lease agreement which generated a significant taxable profit. At December 31, 2018, the Swiss entity has no more residual tax loss carried forwards. At December 31, 2018 and 2017, most of the unrecognized deferred tax assets on deductible temporary differences on long-term assets and other differences relate to the US and Swiss entities discussed above. An assessment has been performed on the recoverability of the deferred tax assets on deductible temporary differences for these two entities. 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, 2018 | |
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Trade Payables and Other | NOTE 20—TRADE PAYABLES AND OTHER At December 31, 2018 At December 31, 2017 (in millions of Euros) Non-current Current Non-current Current Trade payables — 685 — 717 Fixed assets payables — 30 — 27 Employees’ entitlements — 160 — 159 Taxes payable other than income tax — 16 — 12 Deferred revenue (until December 31, 2017) — — 34 10 Contract liabilities (from January 1, 2018) 9 68 — — Other payables 18 9 20 5 Total Other 27 283 54 213 Total Trade payables and other 27 968 54 930 20.1 Contract liabilities At December 31, 2018 At January 1, 2018 (in millions of Euros) Non-current Current Non-current Current Deferred tooling revenue — — 14 — Advance payment from customers 7 9 18 9 Unrecognized variable consideration (A) 2 57 — 41 Other — 2 — 1 Total Contract liabilities 9 68 32 51 (A) Unrecognized variable consideration consists of expected volume rebates, discounts, incentives, refunds penalties and price concessions. Revenue, included in the contract liabilities as of January 01, 2018, was recognized in 2018 for €55 million and revenue, generated in 2018, in the amount of €45 million was deferred. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2018 | |
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Borrowings | NOTE 21—BORROWINGS 21.1 Analysis by nature December 31, 2018 December 31, (in millions of Euros) Nominal in Currency Nominal Effective Nominal In Euros (Arrangement Accrued Carrying Carrying Secured Pan US ABL (due 2022) — Floating 4.51 % — — — — 65 Secured Inventory Based Facility ( due 2019) — Floating — — — — — — Senior Unsecured Notes Constellium N.V. (Issued May 2014, due 2024) $ 400 5.75 % 6.26 % 349 (4 ) 3 348 332 Constellium N.V. (Issued May 2014, due 2021) € 300 4.63 % 5.16 % 300 (2 ) 2 300 298 Constellium N.V. (Issued February 2017, due 2025) $ 650 6.63 % 7.13 % 568 (12 ) 12 568 541 Constellium N.V. (Issued November 2017, due 2026) $ 500 5.88 % 6.26 % 437 (7 ) 10 440 413 Constellium N.V. (Issued November 2017, due 2026) € 400 4.25 % 4.57 % 400 (7 ) 6 399 395 Unsecured Revolving Credit Facility ( due 2021) (A) — Floating — — — — — — Other loans (including Finance leases) — — — 94 2 96 83 Total Borrowings 2,148 (32 ) 35 2,151 2,127 Of which non-current 2,094 2,021 Of which current 57 106 Constellium N.V. Senior Notes are guaranteed by certain subsidiaries. (A) On March 28, 2018, Constellium Issoire entered into a €10 million unsecured Revolving Credit Facility with BPI France, a related party. 21.2 Movements in borrowings (in millions of Euros) Year ended Year ended December 31, 2017 At January 1, 2,127 2,468 Cash flows Proceeds from issuance of Senior Notes (A) (B) — 1,440 (Repayments) of Senior Notes (B) (C) — (1,559 ) (Repayments) / Proceeds from US Revolving Credit Facilities and other loans (68 ) 29 Arrangement fees payment — (29 ) Finance lease repayment and others (15 ) (13 ) Non-cash Movement in interests accrued or capitalized 12 (13 ) New finance leases 28 17 Deferred arrangement fees, step-up 2 7 Effects of changes in foreign exchange rates 65 (220 ) At December 31 2,151 2,127 (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. 21.3 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, 2018 At December 31, 2017 U.S. Dollar 1,408 1,387 Euro 726 720 Other currencies 17 20 Total borrowings 2,151 2,127 Covenants The Group was in compliance with all applicable debt covenants at and for the years ended December 31, 2018 and 2017. 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, 2018 | |
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Financial Instruments | NOTE 22— FINANCIAL INSTRUMENTS 22.1 Financial assets and liabilities by categories At December 31, 2018 At December 31, 2017 (in millions of Euros) Notes At At Fair At Fair Total Loan and At Fair At Fair Total Cash and cash equivalents 13 164 — — 164 269 — — 269 Trade receivables 14 — — 481 481 306 — — 306 Finance lease receivables 14 — — — — 12 — — 12 Other financial assets 74 30 104 83 77 19 179 Total financial assets 238 30 481 749 670 77 19 766 At December 31, 2018 At December 31, 2017 (in millions of Euros) Notes At At Fair At Fair Total At At Fair At Fair Total Trade payables and fixed assets payables 20 715 — — 715 744 — — 744 Borrowings 21 2,151 — — 2,151 2,127 — — 2,127 Other financial liabilities — 79 10 89 — 66 — 66 Total financial liabilities 2,866 79 10 2,955 2,871 66 — 2,937 The table below details other financial assets and other financial liabilities positions: At December 31, 2018 At December 31, 2017 (in millions of Euros) Non-current Current Total Non-current Current Total Derivatives 7 23 30 29 67 96 Aluminium and premium future contracts 2 7 9 6 39 45 Energy future contracts — — — — — — Other future contracts — — — — 1 1 Currency commercial contracts 3 12 15 21 20 41 Currency net debt derivatives 2 4 6 2 7 9 Loans (A) 67 2 69 81 2 83 Margin call — 5 5 — — — Other financial assets 74 30 104 110 69 179 Derivatives 29 60 89 43 23 66 Aluminium and premium future contracts 6 38 44 — 6 6 Energy future contracts — — — — — — Other future contracts 5 3 8 — 1 1 Currency commercial contracts 7 12 19 6 12 18 Net investment hedge — 4 4 — — — Currency net debt derivatives 11 3 14 37 4 41 Other financial liabilities 29 60 89 43 23 66 (A) Corresponds to a loan facility to Constellium-UACJ ABS LLC (See NOTE 18 – Investments accounted for under the equity method). 22.2 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 97%, 94% and 91% respectively of the nominal value and amount to €627 million, €533 million and €760 million, respectively, at December 31, 2018. The fair value was classified as a Level 1 measurement under the fair value hierarchy provided by IFRS 13 – Fair Value Measurement The fair values of the 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 18—Investments accounted for under the equity method). 22.3 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, copper and zinc 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). Trade receivables are classified as a Level 3 measurement under the fair value hierarchy. At December 31, 2018 At December 31, 2017 (in millions of Euros) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Other financial assets—derivatives 9 21 — 30 46 50 — 96 Other financial liabilities—derivatives 50 39 — 89 6 60 — 66 There was no material transfer into or out of any Level 1, Level 2 nor Level 3 during the year ended December 31, 2018 and the year ended December 31, 2017. |
Financial Risk Management
Financial Risk Management | 12 Months Ended |
Dec. 31, 2018 | |
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Financial Risk Management | NOTE 23—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. 23.1 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 that 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, 2018. Forward derivative sales Maturity Year Less than 1 year Over 1 year USD/EUR 2019-2024 519 276 EUR/CHF 2019-2023 64 14 Other currencies 2019-2020 17 1 Forward derivative purchases Maturity Year Less than 1 year Over 1 year USD/EUR 2019-2024 543 93 EUR/CHF 2019-2024 118 62 EUR/CZK 2019-2020 76 61 Other currencies 2019 4 — Forward derivative sales mean that the Group sells currency 1 versus currency 2. Forward derivative 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 $369 million, as of December 31, 2018 ($484 million as of December 31, 2017), and maturities of 2019 to 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 Consolidated Statement of Comprehensive Income / (Loss): (in millions of Euros) Notes Year ended 2018 Year ended 2017 Year ended 2016 Derivatives that do not qualify for hedge accounting Included in Other gains / (losses)—net Realized gains / (losses) on foreign currency derivatives—net 9 9 (19 ) (46 ) Unrealized (losses) / gains on foreign currency derivatives—net (A) 9 (1 ) 16 40 Derivatives that qualify for hedge accounting Included in Revenue Realized gains / (losses) on foreign currency derivatives—net 9 4 1 — Unrealized (losses) / gains on foreign currency derivatives—net 9 (2 ) 1 — Included in Other gains / (losses)—net Realized (losses) / gains on foreign currency derivatives—net 9 (2 ) 3 — Unrealized gains / (losses) on foreign currency derivatives—net — — — Realized gains / (losses) in ineffective portion of derivatives — — — Included in other comprehensive income / (Loss) Unrealized (losses) / gains on foreign currency derivatives—net (23 ) 48 (27 ) (Losses) reclassified from cash flow hedge reserve to Consolidated Income Statement (2 ) (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 years 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, 2018, the net position hedged related to loans and deposits was a forward purchase of $170 million versus the Euro. This comprised of a forward purchase of $620 million versus the Euro, a forward sale of $215 million versus the Euro, both using cross currency basis swaps, and a forward sale of $235 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 2018 Year ended 2017 Year ended 2016 Derivatives Included in Finance costs—net Realized gains / (losses) on foreign currency derivatives—net 5 31 15 Unrealized gains / (losses) on foreign currency derivatives—net 23 (110 ) 30 Total 28 (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 year 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/US Dollar exchange rate. The table below summarizes the impact on profit and Equity (before tax effect) of a 10% strengthening of the US Dollar versus the Euro for non US 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) 18 (34 ) Commercial transaction exposure 22 (34 ) Cash in Bank and intercompany loans 133 — Borrowings (150 ) — Derivatives on financing transaction 17 — Financing transaction exposure — — Total 22 (34 ) (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 years when these sales are recognized. The impact on pretax equity (€34 million) relates to derivatives hedging future sales spread from 2019 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 (except as described below). In June 2018, the Group entered into forward contracts for a total nominal amount of CHF174 million in order to hedge the currency risk associated with the translation of the net assets of its Swiss operations into the Group’s presentation currency. The Group designated these derivatives as a net investment hedge. The unrealized loss of the net investment hedge is included in Other Comprehensive Income for €4 million as of December 31, 2018. Foreign exchange sensitivity The exposure relates to foreign currency translation of net investments in foreign subsidiaries and arises mainly from operations conducted by US 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 (5 ) 7 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, 2018 and 2017, the margin requirement related to foreign exchange hedges was not material 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 passing through the aluminium price risk to customers and 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, 2018, the nominal amount of commodity derivatives is as follows: (in millions of Euros) Maturity Less than 1 year Over 1 year Aluminium 2019-2023 392 48 Premium 2019-2021 10 4 Copper 2019-2021 5 5 Silver 2019-2020 9 — Zinc 2019-2021 8 17 Natural gas 2019-2020 4 2 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, 2018, 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 Year ended Derivatives Included in Other gains / (losses)—net Realized gain / (loss) on commodity derivatives—net 7 16 (16 ) Unrealized (loss) / gain on commodity derivatives—net (83 ) 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, 2018 (before tax effect), with all other variables held constant was estimated to be a €37 million gain. The balances of such financial instruments may change in future years 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 equivalent 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 22—Financial Instruments). At December 31, 2018, Group’s borrowings were mainly at fixed rate. Interest rate sensitivity: risks associated with variable-rate financial instruments The impact on income before income tax for the year 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, 2018, with all other variables held constant, was estimated to be less than €1 million for the years ended December 31, 2018 and 2017. However, the balances of such financial instruments may not remain constant in future years, and therefore the amounts shown may not be indicative of future results. 23.2 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 equivalent 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, 2018 At December 31, 2017 Number of financial (A) Exposure (in millions of Euros) Number of financial (A) Exposure (in millions of Euros) Rated Aa or better 2 22 3 52 Rated A 8 110 12 224 Rated Baa 2 4 3 19 Total 12 136 18 295 (A) Financial Counterparties for which the Group’s exposure is below €0.25 million 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 Trade receivables are actively monitored and managed, at the business unit or site level. Business units report credit exposure information to Constellium management on a regular basis. Over 88% of the Group’s trade account receivables are insured by insurance companies rated A3 or better, or sold to a factor on a non-recourse Historically, we have a very low level of customer default as a result of long history of dealing with our customer base and an active credit monitoring function. See NOTE 14—Trade Receivables and other for the aging of trade receivables. 23.3 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, 2018, the borrowing base for the pan US ABL facility and the French inventory facility were $300 million and €80 million respectively. After deduction of amount drawn and letters of credit, the Group had €335 million outstanding availability under these secured revolving credit facilities at December 31, 2018. At December 31, 2018, liquidity was €669 million, comprised of €164 million of cash and cash equivalents and €505 million of available undrawn facilities, including the €335 million described above. The tables below show undiscounted contractual financial assets and financial liabilities values by relevant maturity groupings based on the remaining periods from December 31, 2018 and December 31, 2017 respectively to the contractual maturity date. At December 31, 2018 At December 31, 2017 Less than Between 1 - 5 years Over 5 years Less than Between 1 - 5 years Over 5 years Financial assets Net debt derivatives 5 12 — 6 3 — Net cash flows from derivative assets related to currencies and commodities 22 12 — 59 15 — Total 27 24 — 65 18 — Notes At December 31, 2018 At December 31, 2017 Less than Between 1 - 5 years After 5 years Less than 1 year Between 1 - 5 years After 5 years Financial liabilities Borrowings (A) 6 315 1,754 67 318 1,692 Interest (B) 114 422 173 103 421 264 Net debt derivatives 3 4 — 3 10 — Net cash flows from derivative liabilities related to currencies and commodities 56 35 — 17 11 — Trade payables and other (excludes deferred revenue and contract liabilities) 20 900 18 — 920 20 — Total 1,079 794 1,927 1,110 780 1,956 (A) Borrowings include the pan US ABL facility, which is considered short-term in nature and is included in the category “Less than 1 year” but exclude finance leases. (B) Interests disclosed are undiscounted forecast interest. |
Pensions and Other Post-employm
Pensions and Other Post-employment Benefit Obligations | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Pensions and Other Post-employment Benefit Obligations | NOTE 24—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. 24.1 Description of the plans Pension plans Constellium’s pension obligations are in the US, 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. US, 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 US. 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 US. These benefit plans are unfunded. 24.2 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, 2018, 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: (in millions of Euros) 0.50% increase in 0.50% decrease in France (9 ) 10 Germany (8 ) 9 Switzerland (19 ) 22 United States (26 ) 28 Total sensitivity on Defined Benefit Obligations (62 ) 69 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. 24.3 Actuarial assumptions Pension and other post-employment benefit obligations were updated based on the discount rates applicable at December 31, 2018. The principal actuarial assumptions used at December 31, 2018 and 2017 were as follows: At December 31, 2018 At December 31, 2017 Rate of increase in Rate of increase Discount rate Rate of increase in Rate of increase Discount rate Switzerland 1.50% — 0.80% 1.50% — 0.65% US — — — — — — Hourly pension 2.20% — 4.40%-4.45% 2.20% — 3.70%-3.75% Salaried pension 3.80% — 4.45% 3.80% — 3.80% OPEB (A) 3.80% — 4.40%-4.55% 3.80% — 3.70%-3.85% Other benefits 3.80% — 4.25%-4.40% 3.80% — 3.60%-3.70% France 1.50%-2.50% 2.00% — 1.50%-1.75% 2.00% — Retirements — — 1.65% — — 1.50% Other benefits — — 1.35% — — 1.20% Germany 2.75% 1.70% 1.70% 2.75% 1.70% 1.60% (A) The other main financial assumptions used for the OPEB (healthcare plans, which are predominantly in the US) were: • Medical trend rate: pre 65: 6.70% starting in 2019 decreasing gradually to 4.50% until 2026 and stable onwards and post 65: 5.80% starting in 2019 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. 24.4 Amounts recognized in the Consolidated Statement of Financial Position (in millions of Euros) At December 31, 2018 At December 31, 2017 Pension Other Total Pension Other Total Present value of funded obligation 674 — 674 691 — 691 Fair value of plan assets (380 ) — (380 ) (387 ) — (387 ) Deficit of funded plans 294 — 294 304 — 304 Present value of unfunded obligation 115 201 316 110 250 360 Net liability arising from defined benefit obligation 409 201 610 414 250 664 24.5 Movement in net defined benefit obligations At December 31, 2018 (in millions of Euros) Defined benefit obligations Plan Net defined Pension Other Total At January 1, 2018 801 250 1,051 (387 ) 664 Included in the Consolidated Income Statement Current service cost 18 6 24 — 24 Interest cost / (income) 16 8 24 (9 ) 15 Past service cost — (36 ) (36 ) — (36 ) Immediate recognition of gains / (losses) arising over the year — — — — — Administration expenses — — — 2 2 Included in the Statement of Comprehensive Income / (Loss) Remeasurements due to: —actual return less interest on plan assets — — — 26 26 —changes in financial assumptions (30 ) (15 ) (45 ) — (45 ) —changes in demographic assumptions (5 ) (1 ) (6 ) — (6 ) —experience losses (1 ) (2 ) (3 ) — (3 ) Effects of changes in foreign exchange rates 22 9 31 (16 ) 15 Included in the Consolidated Statement of Cash Flows — Benefits paid (35 ) (19 ) (54 ) 31 (23 ) Contributions by the Group — — — (23 ) (23 ) Contributions by the plan participants 3 1 4 (4 ) — At December 31, 2018 789 201 990 (380 ) 610 At December 31, 2017 (in millions of Euros) Defined benefit obligations Plan Net defined 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 (10 ) 17 Past service cost (16 ) (4 ) (20 ) — (20 ) Immediate recognition of gains / (losses) arising over the year — — — — — Administration expenses — — — 3 3 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 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 24.6 OPEB amendments In the third quarter of 2018, the Group announced a plan to transfer certain participants in the Constellium Rolled Products Ravenswood Retiree Medical and Life Insurance Plan (“the Plan”) from a company sponsored program to a third-party health network that provides similar benefits at a lower cost. This change in benefits was accounted for as a plan amendment and resulted in both a reduction of the defined benefit obligation and the recognition of a €36 million gain from negative past service cost. The United Steelworkers Local Union 5668 is contesting the changes to the Plan and filed a law suit against Constellium Rolled Products Ravenswood, LLC in a federal district court in West Virginia (the “Court”) seeking to enjoin the Plan changes and to compel arbitration. The Court issued an order in December 2018 enjoining the Company from implementing the changes to the Plan pending resolution in arbitration. The Group believes it has a strong legal position, and that it is probable that it will ultimately prevail and be able to implement the Plan changes. 24.7 Net defined benefit obligations by country At December 31, 2018 At December 31, 2017 (in millions of Euros) Defined Plan assets Net defined Defined benefit Plan assets Net France 151 (3 ) 148 148 (3 ) 145 Germany 136 (1 ) 135 142 (1 ) 141 Switzerland 251 (178 ) 73 251 (177 ) 74 United States 451 (198 ) 253 509 (206 ) 303 Other countries 1 — 1 1 — 1 Total 990 (380 ) 610 1,051 (387 ) 664 24.8 Plan asset categories At December 31, 2018 At December 31, 2017 (in millions of Euros) Quoted in an Unquoted Total Quoted in an Unquoted in Total Cash & cash equivalents 6 — 6 3 — 3 Equities 95 40 135 109 51 160 Bonds 71 110 181 68 106 174 Property 10 33 43 8 29 37 Other 5 10 15 5 8 13 Total fair value of plan assets 187 193 380 193 194 387 24.9 Cash flows Expected contributions to pension and other benefits amount to €26 million and €19 million respectively for the year ended December 31, 2019. Benefit 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, 2019 53 2020 49 2021 52 2022 54 2023 56 2024 to 2028 290 At December 31, 2018, the weighted-average maturity of the defined benefit obligations was 13.3 years (2017: 14.0 years). |
Provisions
Provisions | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Provisions | NOTE 25—PROVISIONS (in millions of Euros) Notes Close down and Restructuring Legal claims and Total At January 1, 2018 81 5 67 153 Transfer from provision to contract liability 2 — — (23 ) (23 ) Allowance 3 1 15 19 Amounts used (2 ) (2 ) (4 ) (8 ) Unused amounts reversed — (1 ) (6 ) (7 ) Unwinding of discounts (1 ) — — (1 ) Effects of changes in foreign exchange rates 2 — 1 3 Transfer — — 4 4 At December 31, 2018 83 3 54 140 Current 5 1 40 46 Non-Current 78 2 14 94 Total Provisions 83 3 54 140 (in millions of Euros) Notes Close down and Restructuring Legal claims and 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 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, 2018 At December 31, 2017 Maintenance and customer related provisions (A) 6 25 Litigation (B) 41 36 Disease claims (C) 4 3 Other 3 3 Total Provisions for legal claims and other costs 54 67 (A) Contract liabilities related to refund penalties and price concessions previously presented as provisions have been reclassified for €23 million as of January 01, 2018. (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, 2018, 6 cases in which gross negligence is alleged (“ faute inexcusable Contingencies The Group is involved, and may become involved, in various law suits, claims and proceedings relating to customer claims, product liability, and other commercial matters. The Group records provisions for pending litigation matters when it determines that it is probable that an outflow of resources will be required to settle the obligation, and such amounts can be reasonably estimated. In some proceedings, the issues raised are or can be highly complex and subject to significant uncertainties and amounts claimed are and can be substantial. As a result, the probability of loss and an estimation of damages are and can be difficult to ascertain. The Group is currently subject to an arbitration by a customer claiming that Constellium supplied defective products as a result of which the customer alleges it has suffered significant damages. The Group considers that the claim is without merit on both technical and legal grounds and is vigorously defending the action. For this matter and in respect of others which the Group considers are without merit, while it is possible that an unfavorable outcome may result, after assessing the information available, the Group has concluded that it is not probable that a loss has been incurred. In exceptional cases, when the Group considers that disclosures relating to provisions and contingencies may prejudice its position, disclosures are limited to the general nature of the dispute. |
Non Cash Investing & Financing
Non Cash Investing & Financing Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Non Cash Investing & Financing Transactions | NOTE 26—NON-CASH Property, plant and equipment acquired through finance leases amounted respectively to €28 million, €17 million and €16 million for the years ended December 31, 2018, 2017 and 2016 respectively. These leases are excluded from Statement of Cash Flow as they are non-cash Fair values of Performance based restricted Shares Units and Restricted Share Units vested during the period amounted to €8 million, €1 million and €4 million for the years ended December 31, 2018, 2017 and 2016 respectively. They are excluded from the Statement of Cash flows as non-cash |
Share Capital
Share Capital | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Share Capital | NOTE 27—SHARE CAPITAL At December 31, 2018, 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, 2018 134,510,623 3 420 New shares issued (A) 1,488,771 — — At December 31, 2018 (B) 135,999,394 3 420 (A) Constellium N.V. issued and granted 1,488,771 Class A ordinary shares to certain employees related to share-based compensation plans. (B) Constellium N.V. holds 38,597 Class A ordinary shares at December 31, 2018. |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Commitments | NOTE 28—COMMITMENTS Non-cancellable The Group leases various buildings, machinery, and equipment under operating lease agreements. Total rent expense was €31 million for the year ended December 31, 2018 (€27 million for the year ended December 31, 2017 and €27 million for the year ended December 31, 2016). The future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2018 At December 31, 2017 Less than 1 year 24 19 1 to 5 years 63 49 More than 5 years 46 40 Total non-cancellable 133 108 Capital expenditures commitments (in millions of Euros) At December 31, 2018 At December 31, 2017 Computer Software 1 2 Property, plant and equipment 123 99 Total capital expenditure commitments 124 101 |
Related Parties
Related Parties | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Related Parties | NOTE 29—RELATED PARTIES Subsidiaries and affiliates A list of the principal companies controlled by the Group is presented in NOTE 31—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, 2018, 2017 and 2016. Transactions with these related parties are described in NOTE 18—Investments accounted for under the equity method. Shareholders On March 28, 2018, Constellium Issoire entered into a €10 million unsecured Revolving Credit Facility with BPI France, a related party. Key management remuneration The Group’s key management comprises the Board members and the Executive committee members effectively present during 2018. 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 9 8 10 Directors’ fees 1 1 1 Share-based compensation 6 4 2 Post-employments benefits — — — Termination benefits — 1 1 Employer social contribution 1 1 2 Total 17 15 16 |
Share-Based Compensation
Share-Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
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 and 2018, a performance condition, contingent on the TSR performance of Constellium over the three-year 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, 251.1% at its second testing period and 184,4% at its third period, which represented respectively 47,229 potential additional shares in 2016, 366,669 potential additional shares in 2017, and 187,648 potential additional shares in 2018. The PSUs vested in November 2018 and 1,231,055 shares were granted to beneficiaries. The PSUs granted in March 2016, May 2016, August 2016 and November 2016 achieved, respectively, a TSR performance of 115.9%, 98.1%, 191.6% and 223.8% at their first testing period, which represents 186,059 potential additional shares in 2017. They achieved respectively a TSR performance of 229.9%, 217.2%, 282.2% and 148.7% at their second testing period, which represents 446,022 potential additional shares in 2018. Potential shares 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 2018 and 2017: Year ended Year ended Fair value at grant date (in euros) 15.31 11.52 Share price at grant date (in euros) 10.27 7.50 Dividend yield — — Expected volatility (A) 75% 75% Risk-free interest rate (US government bond yield) 2.60% 1.51% Model used Monte Carlo Monte Carlo (A) Volatilities for the Company and companies included in indices were estimated based on observed historical volatilities over period equal to PSU vesting period. 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 and 75,000 in 2018 on the second anniversary. 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 an 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, 2018, 2017 and 2016 amounted to €12 million, €8 million and €6 million respectively. Movement of potential shares The following table illustrates the number 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, 2017 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 Granted (A) 701,109 € 15.31 595,687 € 10.23 30,709 € 10.27 Over-performance (B) 633,670 € 7.28 — — — — Vested (1,265,635 ) € 7.09 (155,000 ) € 10.83 (68,136 ) € 4.85 Forfeited (C) (241,820 ) € 8.40 (72,663 ) € 8.57 — — At December 31, 2018 3,085,164 € 10.45 1,312,524 € 8.47 57,913 € 8.31 (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, 213,820 were forfeited following the departure of certain beneficiaries and 28,000 were forfeited in relation to the non-fulfilment |
Subsidiaries and Operating Segm
Subsidiaries and Operating Segments | 12 Months Ended |
Dec. 31, 2018 | |
Investments accounted for using equity method [abstract] | |
Subsidiaries and Operating Segments | NOTE 31—SUBSIDIARIES AND OPERATING SEGMENTS The following Group’s affiliates are legal entities included in the Consolidated Financial Statements of the Group at December 31, 2018. 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 US 100% Full Constellium Engley (Changchun) Automotive Structures Co Ltd. 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 Trading, S. DE R.L. DE C.V. Mexico 100% Full Astrex Inc Canada 50% Full Constellium Automotive Zilina S.r.o. Slovakia 100% Full Constellium Automotive Nanjing Co Ltd China 100% Full Constellium Automotive Spain SL Spain 100% Full A&T Constellium Issoire S.A.S. France 100% Full Constellium Montreuil Juigné S.A.S. France 100% Full Constellium China Limited China 100% Full Constellium Japan KK Japan 100% Full Constellium Rolled Products Ravenswood, LLC US 100% Full Constellium Southeast Asia PTE LTD Singapore 100% Full Constellium Ussel S.A.S. France 100% Full AluInfra Services SA (A) Switzerland 50% Full P&ARP Constellium Deutschland GmbH Germany 100% Full Constellium Rolled Products Singen GmbH KG Germany 100% Full Constellium Property and Equipment Company, LLC US 100% Full Constellium Neuf Brisach France 100% Full Constellium Muscle Shoals LLC US 100% Full Constellium Holding Muscle Shoals LLC US 100% Full Constellium Muscle Shoals Funding II LLC US 100% Full Listerhill Total Maintenance Center LLC US 100% Full Constellium Metal Procurement LLC US 100% Full Constellium-UACJ ABS LLC US 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 UK Limited United Kingdom 100% Full Constellium U.S. Holdings I, LLC US 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 (A) AluInfra Services SA, the joint venture created with Novelis in July 2018, is consolidated as a joint operation and is immaterial in the Group Consolidated Financial Statements |
Parent Company
Parent Company | 12 Months Ended |
Dec. 31, 2018 | |
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Parent Company | NOTE 32—PARENT COMPANY Statement of Financial Position of Constellium N.V. (parent company only). (in millions of Euros) At December 31, 2018 At December 31, 2017 Assets Current assets Cash and cash equivalents — — Trade receivables and other 109 53 Other financial assets 38 28 147 81 Non-current Property, plant and equipment — — Financial assets 2,106 2,143 Investments in subsidiaries 144 131 Deferred income tax assets 2 — 2,252 2,274 Total Assets 2,399 2,355 Liabilities Current liabilities Trade payables and other 5 6 Income tax payable 21 — Other financial liabilities 33 22 59 28 Non-current Borrowings 2,022 1,957 2,022 1,957 Total Liabilities 2,081 1,985 Equity Share capital 3 3 Share premium 429 429 Accumulated retained earnings (239 ) (17 ) Other reserves 38 25 Net income/ (loss) 87 (70 ) Total Equity 318 370 Total Equity and Liabilities 2,399 2,355 Statement of Comprehensive income / (loss) of Constellium N.V. (parent company only). (in millions of Euros) Year ended Year ended Year ended Revenue 3 1 1 Gross profit 3 1 1 Selling and administrative expenses (15 ) (5 ) (8 ) Employee benefit expenses (3 ) (1 ) — Loss from recurring operations (15 ) (5 ) (7 ) Other income — — — Other expense (3 ) — — Loss from operations (18 ) (5 ) (7 ) Financial result—net 80 (65 ) 1 Income / (loss) before income tax 62 (70 ) (6 ) Income tax 25 — — Net income / (loss) 87 (70 ) (6 ) Other comprehensive (loss) / income — — — Total comprehensive income / (loss) 87 (70 ) (6 ) Statement of Cash Flows of Constellium N.V. (parent company only). (in millions of Euros) Year ended Year ended Year ended Net income/ (loss) 87 (70 ) (6 ) Adjustments Finance cost—net (80 ) 65 (1 ) Dividend received — — — Income tax (25 ) — — Interest paid (102 ) (148 ) (95 ) Interest received 134 149 103 Changes in working capital — — — Trade receivables and other — (1 ) — Other financial liabilities — — — Trade payables and other — 2 (1 ) Net cash flows from / (used in) operating activities 14 (3 ) — Investments in subsidiaries (1 ) (11 ) — Current account with subsidiaries and related parties (13 ) 180 (186 ) 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 investing activities (14 ) (639 ) (380 ) Net proceeds received from issuance of shares — 259 — Proceeds from issuance of Senior Notes — 1,440 375 Payment of deferred financing costs — (29 ) (12 ) Repayment of Senior Notes — (949 ) — Payment of exit fees — (61 ) — Realized foreign exchange gains / (losses) — (17 ) 17 Other — (1 ) — Net cash flows from financing activities — 642 380 Net increase in cash and cash equivalents — — — Cash and cash equivalents—beginning of year — — — Effect of exchange rate changes on cash and cash equivalents — — — Cash and cash equivalents—end of year — — — 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, 2018, there were no material contingencies at Constellium N.V. A description of Constellium N.V.’s parent company only borrowings and related maturity dates is provided in NOTE 21—Borrowings. Other financial liabilities represent interest payable on borrowings. Non-current |
Acquisition of Constellium-Bowl
Acquisition of Constellium-Bowling Green | 12 Months Ended |
Dec. 31, 2018 | |
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Acquisition of Constellium-Bowling Green | NOTE 33—ACQUISITION OF CONSTELLIUM-BOWLING GREEN The acquisition of 49% of Constellium-UACJ ABS was completed on January 10, 2019. The transaction is therefore not reflected in the Group’s consolidated financial statements as of December 31, 2018. In accordance with IFRS 3, Constellium will recognize the assets acquired and liabilities assumed, measured at fair value at the acquisition date, in its 2019 consolidated financial statements. With the assistance of an independent expert, Constellium is estimating, on a preliminary basis, the provisional fair values as of January 10, 2019 of the assets acquired and liabilities assumed. These estimated fair values are subject to change, for a maximum 12-month The following table reflects the goodwill arising as a result of the preliminary allocation of purchase price to the Bowling Green assets acquired and liabilities assumed as of January 10, 2019: (in millions of Euros) Estimated Fair Value Cash and cash equivalents 8 Trade receivables and other 49 Inventories 74 Property, plant and equipment 165 Trade payables and other (45 ) Borrowings (75 ) Net asset acquired at fair value 176 Preliminary Goodwill 22 Total Consideration 198 Total consideration includes €87 million of cash consideration paid for the 49% stake in Constellium-UACJ ABS, €73 million for the fair value of Constellium’s previously held interest in Constellium-UACJ ABS and €38 million of preexisting trade receivables with Constellium- UACJ ABS. Property, Plant and Equipment, Inventories, Provisions and Borrowings have been remeasured at fair value. Had the acquisition of Constellium-UACJ ABS taken place as of January 1, 2018, Constellium would have recognized a combined revenue of €5,772 million and a combined net income of €159 million for the year 2018. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
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Subsequent Events | NOTE 34—SUBSEQUENT EVENTS On January 10, 2019, the acquisition of 49% of Constellium-UACJ ABS was completed as described in NOTE 33—Acquisition of Constellium Bowling Green. On February 20, 2019, the Pan-U.S. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Statement of compliance | 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 11, 2019. |
Application of new and revised IFRS | 2.2 Application of new and revised IFRS The Group has adopted IFRS 15— Revenue from Contracts with Customers Financial Instruments Several other amendments and interpretations apply for the first time in 2018, but do not have any impact on the Consolidated Financial Statements of the Group. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective. IFRS 15 Revenue from Contracts with Customers IFRS 15 supersedes IAS 11— Construction Contracts Revenue The Group adopted IFRS 15 using the cumulative effect method of adoption at the date of initial application for contracts that were not completed at that date. There was no cumulative effect adjustment to the opening balance of retained earnings in the Consolidated Financial Statements of Financial Position as of January 1, 2018, as a result of the adoption of IFRS 15. The Group primarily contracts with customers for the sale of rolled or extruded aluminium products. For the majority of our business, performance obligations with customers begin when we acknowledge a purchase order for a specific customer order of product to be delivered in the near-term. These purchase orders are short-term in nature, although they may be governed by long-term multi-year frame agreements. The Group has concluded that revenue from sale of goods, measured at the fair value of the consideration received or receivable, should be recognized at the point in time when control of the asset is transferred to the customer, generally upon delivery, similar to the Group revenue recognition model under IAS 18. In certain limited circumstances, the Group may be required 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. This could result in recognizing revenue earlier than under prior IFRS rules which required recognition at a point in time for these transactions. However, as of the date of initial application and for the year ended December 31, 2018, IFRS 15 had no impact on the timing of our 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 for the amount the Group expects to be entitled to, generally upon delivery, and provided persuasive evidence that control has transferred. Upon adoption of IFRS 15, the Group made the following reclassifications in its opening financial position: (in millions of Euros) Carrying amount Contract liabilities Carrying amount Trade receivables and other 467 18 485 Trade payables and other (984 ) (41 ) (1,025 ) Provisions (153 ) 23 (130 ) Contract liabilities, which have been reclassified, consist of expected volume discounts, rebates, incentives, refunds and penalties and price concessions. Contract liabilities were previously presented as provisions or as a reduction in trade receivables. Contract liabilities as of December 31, 2018 are presented in NOTE 20—Trade payables and other. IFRS 9 Financial Instruments IFRS 9 replaces the provisions of IAS 39 that relate to the recognition, classification and measurement of financial assets and financial liabilities, derecognition of financial instruments, impairment of financial assets and hedge accounting. The adoption of IFRS 9— Financial Instruments i. Classification and measurement On January 1, 2018 (the date of initial application of IFRS 9), the Group’s management assessed which business models apply to the financial assets held by the group and classified its financial instruments into the appropriate IFRS 9 categories. The main effect results from the reclassification of Trade receivables from the Loan and receivables category to Fair value through OCI category (FVOCI), as receivables may be either held until collection or sold as part of factoring arrangements. There was no significant difference between the previous carrying amount and the fair value of the other financial assets as of January 1, 2018 to be recognized in opening retained earnings, as a result of their liquidity or short maturity. Consistent with IAS 39, derivatives are required to be held at Fair Value through Profit and Loss (FVPL) under IFRS 9 as they do not meet the criteria for amortized cost or FVOCI unless they are designated for hedge accounting. • Financial assets Financial assets are classified either: (a) at amortized cost, (b) at fair value through other comprehensive income (FVOCI), or (c) at fair value through profit or loss (FVPL). The classification depends on the financial asset’s contractual cash flow characteristics and the Group’s business model for managing the financial assets. Management determines the classification of Constellium’s financial assets at initial recognition. i. Assets at amortized cost are comprised of other receivables, non-current non-current ii. Assets at fair value through OCI are comprised of trade receivables in the Consolidated Statement of Financial Position. The business model is to maintain liquidity for the Group, should the need arise, which leads to sales through factoring agreements that are more than infrequent and significant in value. Therefore, trade receivables are managed under an objective that results in both collecting the contractual cash flows and selling the receivables to the factors. The portfolio of trade receivables is therefore classified as measured at fair value through OCI. Foreign exchange revaluation and impairment losses or reversals are recognized in profit or loss and computed in the same manner as for financial assets measured at amortized cost. The remaining fair value changes are recognized in OCI. Upon derecognition, the cumulative fair value change recognized in OCI is recycled to profit or loss. These assets are classified as current or non-current iii. Assets at fair value through profit or loss are comprised of derivatives 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. • 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. ii. Impairment of financial assets Financial assets subject to IFRS 9’s new expected credit loss model includes: cash and cash equivalents, trade receivables and other and loans to joint ventures. The impact of the change in impairment methodology on the Group’s retained earnings and equity is disclosed as follows: • For cash and cash equivalents, the identified impairment loss was immaterial. • For trade receivables and other (including contract assets and other receivables), the group applies the IFRS 9 simplified approach to measuring expected credit losses which uses a lifetime expected loss allowance for all trade receivables and contract assets. The application of the IFRS 9 expected credit loss model resulted in an immaterial impairment loss. • For loans to joint ventures the application of the amendment to IAS 28 and the IFRS 9 expected credit loss model resulted in the recognition of a loss allowance of €2 million in opening retained earnings net of tax (previous loss allowance was nil). iii. Hedging The Group did not adopt the disposition of IFRS 9 on hedging and will therefore continue to apply the provisions of IAS 39. (Refer to Note 2.6) iv. 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. |
New standards and interpretations not yet mandatorily applicable | 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 16— Leases The standard will replace IAS 17— Leases non-lease The group expects to recognize right-of-use 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 being evaluated. The Company expects no significant impact on its Consolidated Financial Statements from the effect of applying IFRIC 23. The interpretation is effective for annual years beginning on or after January 1, 2019. The Group plans to adopt the new standards and interpretations on their required effective dates. |
Basis of preparation | 2.4 Basis of preparation In accordance with IAS 1— Presentation of Financial Statements The financial position of the Group, its cash flows, liquidity position and borrowing facilities are described in the Consolidated Financial Statements respectively in NOTE 13—Cash and Cash Equivalents, NOTE 21—Borrowings and NOTE 23—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, 2018. This assessment was confirmed by the Board of Directors on March 11, 2019. |
Presentation of the operating performance of each operating segment and of the Group | 2.5 Presentation of the operating performance of each operating segment and of the Group In accordance with IFRS 8— Operating Segments 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 |
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 are accounted for under the equity method. Investments over which the Group has joint control are accounted for either as joint ventures under the equity method or as joint arrangements in relation to their interest in the joint operation. Joint venture 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 combinations | Business combinations 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 are included in Other gains / (losses)—net in the Consolidated Income Statement. |
Cash-generating units | Cash-generating units The reporting units (which generally correspond to industrial sites), the lowest level of the Group’s internal reporting, have been identified as 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 levels 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 usually covering 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 years. |
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 year 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 exchange gains and losses that relate to borrowings and cash and cash equivalents are presented within Finance costs—net. Realized foreign exchange gains and losses that relate to commercial transactions are presented in Cost of sales. All other foreign exchange gains and losses, including those that relate to foreign currency derivatives hedging commercial transactions, are presented within Other gains / (losses)—net. 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: Year ended Year ended Year ended Foreign exchange rate for 1 Euro Average Closing Average Closing Average Closing U.S. Dollars USD 1.1798 1.1450 1.1273 1.1993 1.1063 1.0541 Swiss Francs CHF 1.1546 1.1269 1.1103 1.1702 1.0901 1.0739 Czech Koruna CZK 25.6452 25.7240 26.3151 25.5349 27.0342 27.0210 |
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) the 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; - 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; - 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. |
Derivatives financial instruments | Derivatives financial instruments Derivatives are initially recognized at fair value on the date a derivative contract is entered into and are subsequently re-measured 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. 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 in ‘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. |
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, that are directly attributable to the production process and production overheads). |
Trade account receivables | Trade account receivables Recognition and measurement Trade account receivables are recognized at fair value through OCI since they are managed under an objective that results in both collecting the contractual cash flows and selling the receivables to the factors. Prior to the adoption of IFRS 9, trade account receivables were recognized initially at fair value and subsequently measured at amortized cost using the effective interest method, less impairment. In prior years, the impairment of trade receivables was assessed based on the incurred loss model. Individual receivables known to be uncollectible were written off by reducing the carrying amount directly. The other receivables were assessed collectively, to determine whether there was an objective evidence that an impairment had been incurred but not yet identified. 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 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 the line 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 When any legal action, claim or assertion related to product warranty or guarantee is settled, the net settlement amount incurred is charged against the provision established in the Consolidated Statement of Financial Position. The outstanding provision is reviewed periodically for adequacy and reasonableness by Constellium management. 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 benefits and other long-term employee benefits | 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 year 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 Statements 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 is included within the Income / (Loss) from operations except for the net Interest costs which are included within Finance costs—net. 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 Consolidated 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 income tax benefit/ (expense) 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 the current year presentation. The net interest cost component of pension and other benefits expense which was previously presented as an expense in income from operations has been reclassified in Finance costs—net for €15 million, €17 million and €21 million for years ended December 31, 2018, 2017 and 2016 respectively. The change in presentation is expected to improve comparability with peers. |
Judgments in applying accounting policies and key sources of estimation uncertainty | 2.7 Judgments in applying accounting policies and key sources of estimation uncertainty Many of the amounts included in the Consolidated Financial Statements involve the use of judgment and/or estimation. These judgments and estimates are based on management’s best knowledge of the relevant facts and circumstances, giving consideration to previous experience. However, actual results may differ from the amounts included in the Consolidated Financial Statements. Key sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year include the items presented below. Impairment tests for goodwill, intangible assets and property, plant and equipment The determination of fair value and value in use of cash-generating units or groups of cash-generating units depends on a number of assumptions, in particular market data, estimated future cash flows and discount rates. These assumptions are subject to risk and uncertainty. Any material changes in these assumptions could result in a significant change in a cash-generating units’ recoverable value or in a goodwill impairment. Details of the key assumptions applied are set out in NOTE 17—Intangible assets (including goodwill) and in NOTE 16—Property, plant and equipment. 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 and its determination requires the application of judgement. Assumptions used and judgements made in determining the defined benefit obligations and net pension costs include discount rates, rates of future compensation increase as well as the criteria considered to determine, in the context of a plan amendment, when the plan amendment has occurred. 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 made and judgments applied are set out in NOTE 24—Pensions and other post-employment benefit obligations. Taxes Significant judgment is sometimes required in determining the accrual for income taxes as there are many transactions and calculations for which the ultimate tax determination is uncertain during the ordinary course of business. The Group recognizes liabilities based on estimates of whether additional taxes will be due. Where the final tax outcome of these matters is different from the amounts that were recorded, such differences will impact the current and deferred income tax provisions, results of operations and possibly cash flows in the year in which such determination is made. Management judgment is required to determine the extent to which deferred tax assets can be recognized. In assessing the recognition of deferred tax assets, management considers whether it is more likely than not that the deferred tax assets will be utilized. The deferred tax assets will be ultimately utilized to the extent that sufficient taxable profits will be available in the years in which the temporary differences become deductible. This assessment is conducted through a detailed review of deferred tax assets by jurisdiction and takes into account the scheduled reversals of taxable and deductible temporary differences, past, current and expected future performance deriving from the budget, the business plan and tax planning strategies. Deferred tax assets are not recognized in the jurisdictions where it is less likely than not that sufficient taxable profits will be available against which the deductible temporary differences can be utilized. Provisions Provisions have been recorded for: (a) close-down and restoration costs; (b) environmental remediation and monitoring costs; (c) restructuring programs; (d) legal and other potential claims including provisions for income tax risks, product warranty and guarantees, at amounts which represent management’s best estimates of the expenditure required to settle the obligation at the date of the Consolidated Statement of Financial Position. Expectations are revised each year until the actual liability is settled, with any difference accounted for in the year in which the revision is made. Main assumptions used are described in NOTE 25—Provisions. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Opening Financial Position Reclassification (IFRS 15 Standard) | Upon adoption of IFRS 15, the Group made the following reclassifications in its opening financial position: (in millions of Euros) Carrying amount Contract liabilities Carrying amount Trade receivables and other 467 18 485 Trade payables and other (984 ) (41 ) (1,025 ) Provisions (153 ) 23 (130 ) |
Disclosure of Foreign Exchange Rates | The following table summarizes the main exchange rates used for the preparation of the Consolidated Financial Statements: Year ended Year ended Year ended Foreign exchange rate for 1 Euro Average Closing Average Closing Average Closing U.S. Dollars USD 1.1798 1.1450 1.1273 1.1993 1.1063 1.0541 Swiss Francs CHF 1.1546 1.1269 1.1103 1.1702 1.0901 1.0739 Czech Koruna CZK 25.6452 25.7240 26.3151 25.5349 27.0342 27.0210 |
Revenue (Tables)
Revenue (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Summary of Revenue by Product Line | The following table presents our revenue by product line: (in millions of Euros) Year ended Year ended Year ended Packaging rolled products 2,245 2,146 2,003 Automotive rolled products 636 483 319 Specialty and other thin-rolled products 169 176 160 Aerospace rolled products 773 760 795 Transportation, Industry and other rolled products 566 541 484 Automotive extruded products 714 614 537 Other extruded products 573 504 456 Other 10 13 (11 ) Total Revenue 5,686 5,237 4,743 |
Disclosure of geographical areas | The following table presents our revenue by destination of shipment: (in millions of Euros) Year ended Year ended Year ended France 554 557 493 Germany 1,339 1,217 1,042 United Kingdom 175 188 203 Switzerland 77 123 86 Other Europe 1,038 940 798 United States 1,897 1,691 1,511 Canada 107 78 68 Asia and Other Pacific 300 270 292 All Other 199 173 250 Total Revenue 5,686 5,237 4,743 |
Operating Segment Information (
Operating Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Summary of Operating Segment Information | 4.1 Segment Revenue Year ended December 31, 2018 Year ended December 31, 2017 Year ended December 31, 2016 (in millions of Euros) Segment Inter External Segment Inter External Segment Inter External P&ARP 3,059 (9 ) 3,050 2,812 (7 ) 2,805 2,498 (16 ) 2,482 A&T 1,389 (50 ) 1,339 1,335 (34 ) 1,301 1,302 (23 ) 1,279 AS&I 1,290 (3 ) 1,287 1,123 (5 ) 1,118 1,002 (9 ) 993 Holdings & Corporate (A) 10 — 10 13 — 13 (11 ) — (11 ) Total 5,748 (62 ) 5,686 5,283 (46 ) 5,237 4,791 (48 ) 4,743 (A) For the years ended December 31, 2018, 2017 and 2016, 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 |
Summary of Segment adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income | 4.2 Segment Adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (in millions of Euros) Notes Year ended Year ended Year ended P&ARP 243 204 204 A&T 152 146 118 AS&I 125 120 104 Holdings & Corporate (22 ) (22 ) (28 ) Adjusted EBITDA 498 448 398 Metal price lag (A) — 22 4 Start-up (B) (21 ) (17 ) (25 ) Manufacturing system and process transformation costs — (2 ) (5 ) Wise integration and acquisition costs — — (2 ) Wise one-time (C) — — (20 ) Wise purchase price adjustment (D) — — 20 Share-based compensation costs (12 ) (8 ) (6 ) Gains on pension plan amendments (E) 24 36 20 — Depreciation and amortization 16, 17 (197 ) (171 ) (155 ) Restructuring costs (1 ) (4 ) (5 ) Unrealized (losses) / gains on derivatives 8 (84 ) 57 71 Unrealized exchange (losses) / gains from the remeasurement of monetary assets and liabilities—net 8 — (4 ) 3 Gains / (losses) on disposals (F) 8 186 (3 ) (10 ) Other (G) (1 ) — (1 ) Income from operations 404 338 267 Finance costs—net 10 (149 ) (260 ) (188 ) Share of loss of joint-ventures 18 (33 ) (29 ) (14 ) Income before income tax 222 49 65 Income tax expense 11 (32 ) (80 ) (69 ) Net income 190 (31 ) (4 ) (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 year. (B) For the years ended December 31, 2018 and 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, 2018, the Group amended one of its OPEB plans in the US, which resulted in a €36 million gain. For the year ended December 31, 2017, amendments to certain Swiss pension plans, US pension plans and OPEB resulted in a €20 million gain. (F) In July 2018, Constellium completed the sale of the North Building assets of its Sierre plant in Switzerland to Novelis and contributed the Sierre site shared infrastructure to a joint-venture with Novelis, in exchange for cash consideration of €200 million. This transaction also resulted in the termination of the existing lease agreement for the North Building assets which had been leased and operated by Novelis since 2005. For the year ended December 31, 2018, the transaction generated a €190 million net gain (See NOTE 31 – Subsidiaries and operating segments). (G) For the year ended December 31, 2017, other includes €3 million of legal fees and lump-sum 5-year one-time |
Summary of Segment Capital Expenditures | 4.3 Segment capital expenditures (in millions of Euros) Year ended Year ended Year ended P&ARP (97 ) (115 ) (166 ) A&T (70 ) (73 ) (96 ) AS&I (105 ) (83 ) (84 ) Holdings & Corporate (5 ) (5 ) (9 ) Capital expenditures (277 ) (276 ) (355 ) |
Summary of Segment Assets | 4.4 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, 2018 At December 31, 2017 P&ARP 1,791 1,629 A&T 831 769 AS&I 544 449 Holdings & Corporate 304 252 Segment assets 3,470 3,099 Unallocated: Deferred income tax assets 163 164 Cash and cash equivalents 164 269 Other financial assets 104 179 Total Assets 3,901 3,711 |
Information by Geographic Area
Information by Geographic Area (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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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, 2018 At December 31, 2017 United States 740 681 France 613 586 Germany 181 156 Czech Republic 84 65 Other 48 29 Total 1,666 1,517 |
Expenses by Nature (Tables)
Expenses by Nature (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Detailed Information about Expenses by Nature | (in millions of Euros) Year ended Year ended Year ended Raw materials and consumables used (3,561 ) (3,197 ) (2,792 ) Employee benefit expenses (927 ) (907 ) (876 ) Energy costs (140 ) (138 ) (140 ) Sub-contractors (92 ) (99 ) (108 ) Freight out costs (143 ) (124 ) (128 ) Professional fees (74 ) (77 ) (85 ) Operating lease expenses (31 ) (27 ) (27 ) Depreciation and amortization (197 ) (171 ) (155 ) Other operating expenses (271 ) (229 ) (186 ) Other gains / (losses)—net 154 70 21 Total operating expenses (5,282 ) (4,899 ) (4,476 ) |
Employee Benefit Expenses (Tabl
Employee Benefit Expenses (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Summary of Employee Benefit Expenses | (in millions of Euros) Notes Year ended Year ended Year ended Wages and salaries (889 ) (872 ) (841 ) Pension costs—defined benefit plans 24 (20 ) (21 ) (22 ) Other post-employment benefits 24 (6 ) (6 ) (7 ) Share-based compensation 30 (12 ) (8 ) (6 ) Total employee benefit expenses (927 ) (907 ) (876 ) |
Other Gains _ (Losses)-Net (Tab
Other Gains / (Losses)-Net (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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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) 14 — (62 ) Unrealized (losses) / gains on derivatives at fair value through profit and loss—net (A) 4 (84 ) 57 71 Unrealized exchange (losses) / gains from the remeasurement of monetary assets and liabilities—net 4 — (4 ) 3 Gains on pension plan amendments (B) 24 36 20 — Gains / (losses) on disposal (C) 186 (3 ) (10 ) Wise purchase price adjustment (D) — — 20 Other 2 — (1 ) Total other gains / (losses)—net 154 70 21 (A) Realized gains and losses are related to derivatives entered into with the purpose of mitigating exposure to volatility in foreign currencies and commodity prices. Unrealized gains and losses are related to derivatives that do not qualify for hedge accounting. (B) For the year ended December 31, 2018, the Group amended one of its OPEB plans in the US, which resulted in a €36 million gain. For the year ended December 31, 2017, amendments to certain Swiss pension plans, US pension plans and OPEB resulted in a €20 million gain. (C) In July 2018, Constellium completed the sale of the North Building assets of its Sierre plant in Switzerland to Novelis and contributed the Sierre site shared infrastructure to a joint-venture with Novelis, in exchange for cash consideration of €200 million. This transaction also resulted in the termination of the existing lease agreement for the North Building assets which had been leased and operated by Novelis since 2005. For the year ended December 31, 2018, the transaction generated a €190 million net gain (See NOTE 31—Subsidiaries and operating segments). (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 €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) (Tabl
Currency Gains / (Losses) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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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 23 2 2 — Included in Cost of sales 2 (4 ) 4 Included in Other gains / (losses)—net 7 (4 ) (3 ) Total 11 (6 ) 1 Realized exchange gains / (losses) on foreign currency derivatives—net 23 11 (15 ) (46 ) Unrealized (losses) / gains on foreign currency derivatives—net 23 (3 ) 17 40 Exchange gains / (losses) from the remeasurement of monetary assets and liabilities—net 3 (8 ) 7 Total 11 (6 ) 1 |
Summary of Foreign Currency Translation Reserve | Foreign currency translation reserve (in millions of Euros) At At Foreign currency translation reserve at January 1 (7 ) 12 Effect of currency translation differences 10 (19 ) Foreign currency translation reserve at December 31 3 (7 ) |
Finance Costs-Net (Tables)
Finance Costs-Net (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Summary of Finance Costs-Net | (in millions of Euros) Year ended Year ended Year ended Interest received 7 7 5 Finance income 7 7 5 Interest expense on borrowings (A) (118 ) (147 ) (171 ) Expenses on factoring arrangements (18 ) (16 ) (12 ) Interest expense on finance leases (5 ) (3 ) (4 ) Net loss on settlement of debt (B) — (91 ) (4 ) Realized and unrealized gains / (losses) on debt derivatives at fair value (C) 28 (79 ) 45 Realized and unrealized exchange (losses) / gains on financing activities—net (C) (22 ) 91 (42 ) Interest cost on pension and other benefits (15 ) (17 ) (21 ) Other finance expenses (D) (10 ) (12 ) 5 Capitalized borrowing costs (E) 4 7 11 Finance expenses (156 ) (267 ) (193 ) Finance costs—net (149 ) (260 ) (188 ) (A) For the year ended December 31, 2018, the Group incurred mainly (i) €113 million of interest related to Constellium N.V. Senior Notes and (ii) €4million of interest expense and fees related to the Muscle Shoals and Ravenswood ABL Facility (“Pan US ABL”). 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 ABL Facilities. (B) For the year ended December 31, 2017, net loss on settlement of debt related to (i) the Muscle Shoals Senior Notes redemption in February 2017 for €13 million and (ii) the Constellium N.V. Senior Notes redemption in November 2017 for €78 million. The total exit fees incurred and paid related to refinancings in 2017 amounted to €88 million. (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) For the year ended December 31, 2018, other finance expenses include a €6 million net loss resulting from the modification of our loan to Constellium-UACJ in February 2018. (E) Borrowing costs directly attributable to the construction of assets are capitalized. The capitalization rate used for the years ended December 31, 2018 and 2017 was 6%. The capitalization rate was 7% for the year ended December 31, 2016. |
Income Tax (Tables)
Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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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 (30 ) (26 ) (19 ) Deferred tax expense (2 ) (54 ) (50 ) Total income tax expense (32 ) (80 ) (69 ) |
Summary of Income Tax Reconciliation Using Composite Statutory Income Tax Rate Applicable by Tax Jurisdiction | Using a composite statutory income tax rate applicable by tax jurisdiction, the income tax can be reconciled as follows: (in millions of Euros) Year ended Year ended Year ended Income before income tax 222 49 65 Composite statutory income tax rate applicable by tax jurisdiction 24.1 % 31.9 % 24.9 % Income tax (expense) / benefit calculated at composite statutory tax rate applicable by tax jurisdiction (53 ) (16 ) (16 ) Tax effect of: Changes in recognized and unrecognized deferred tax assets (A) 30 (61 ) (45 ) Change in tax rate (B) — (11 ) (6 ) Other (9 ) 8 (2 ) Income tax expense (32 ) (80 ) (69 ) Effective income tax rate 14 % 163 % 106 % (A) For the year ended December 31, 2018, changes in recognized and unrecognized deferred tax assets mainly relate to non-recurring (B) For the year ended December 31, 2017, the change in tax rate relates mainly to the decrease in the US income tax rate from 40% to 27% for €16 million and to the gradual decrease in the French tax rate to 25.82% starting 2022. For the year ended December 31, 2016, the change in tax rate relates to the French income tax rate 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, 2018 | |
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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 188 (31 ) (4 ) 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 134,761,736 110,164,320 105,500,327 Effect of other dilutive potential ordinary shares (A) 3,384,178 — — Weighted average number of ordinary shares used to calculate diluted earnings per share 138,145,914 110,164,320 105,500,327 (A) For the years ended December 31, 2017 and 2016, there were 3,291,875 and 411,902 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 1.40 (0.28 ) (0.04 ) Diluted 1.37 (0.28 ) (0.04 ) |
Cash and Cash Equivalents (Tabl
Cash and Cash Equivalents (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Summary of Cash and Cash Equivalents | (in millions of Euros) At December 31, 2018 At December 31, 2017 Cash in bank and on hand 164 269 Total Cash and cash equivalents 164 269 |
Trade Receivables and Other (Ta
Trade Receivables and Other (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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Summary of Trade Receivables and Other | Trade receivables and other are comprised of the following: At December 31, 2018 At December 31, 2017 (in millions of Euros) Non-current Current Non-current Current Trade receivables—gross — 483 — 309 Impairment — (2 ) — (3 ) Total Trade receivables—net — 481 — 306 Finance lease receivables — — 6 6 Current income tax receivables 28 43 — 58 Other taxes — 33 — 30 Unbilled tooling costs (until December 31, 2017) — — 28 — Contract assets (from January 1, 2018) 28 2 — — Prepaid expenses 1 12 5 8 Restricted cash — — 1 — Other 7 16 8 11 Total Other receivables 64 106 48 113 Total Trade receivables and Other 64 587 48 419 |
Summary of Contract Assets | At December 31, 2018 At January 1, 2018 (in millions of Euros) Non-current Current Non-current Current Unbilled tooling costs 26 — 28 — Other 2 2 4 1 Total Contract assets 28 2 32 1 |
Summary of Ageing of Total Trade Receivables - Net | The aging of total trade receivables—net is as follows: (in millions of Euros) At December 31, 2018 At December 31, 2017 Not past due 453 286 1 – 30 days past due 23 13 31 – 60 days past due 2 2 61 – 90 days past due 2 3 Greater than 91 days past due 1 2 Total Trade receivables—net 481 306 |
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, 2018 At December 31, 2017 Euro 177 124 U.S. Dollar 284 164 Swiss franc 4 4 Other currencies 16 14 Total Trade receivables—net 481 306 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Disclosure of Inventories | (in millions of Euros) At December 31, 2018 At December 31, 2017 Finished goods 165 164 Work in progress 347 332 Raw materials 112 111 Stores and supplies 67 64 Inventories write down (31 ) (28 ) Total inventories 660 643 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Property Plant and Equipment | (in millions of Euros) Land and Buildings Machinery Construction Other Total Net balance at January 1, 2018 14 206 1,089 198 10 1,517 Additions 1 5 98 195 4 303 Disposals — — (6 ) — — (6 ) Depreciation expense (4 ) (13 ) (161 ) — (6 ) (184 ) Transfer during the year 6 16 181 (202 ) 2 3 Effects of changes in foreign exchange rates 1 3 26 3 — 33 Net balance at December 31, 2018 18 217 1,227 194 10 1,666 Cost 33 349 2,000 200 35 2,617 Less accumulated depreciation and impairment (15 ) (132 ) (773 ) (6 ) (25 ) (951 ) Net balance at December 31, 2018 18 217 1,227 194 10 1,666 (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 year — 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 |
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, 2018 At December 31, 2017 (in millions of Euros) Gross Accumulated Net Gross Accumulated Net Building under finance lease 31 (7 ) 24 30 (5 ) 25 Machinery and equipment under finance lease 79 (26 ) 53 62 (27 ) 35 Total 110 (33 ) 77 92 (32 ) 60 |
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, 2018 At December 31, 2017 Less than 1 year 20 15 1 to 5 years 50 37 More than 5 years 16 19 Total 86 71 The present value of future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2018 At December 31, 2017 Less than 1 year 17 14 1 to 5 years 42 30 More than 5 years 14 16 Total 73 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 Year ended Year ended Cost of sales (184 ) (160 ) (147 ) Selling and administrative expenses (9 ) (8 ) (6 ) Research and development expenses (4 ) (3 ) (2 ) Total (197 ) (171 ) (155 ) |
Intangible Assets (Including _2
Intangible Assets (Including Goodwill) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Disclosure of Changes in Intangible Assets and Goodwill | (in millions of Euros) Goodwill Technology Computer Customer Work in Other Total intangible (excluding Net balance at January 1, 2018 403 24 18 15 9 2 68 Additions — — 2 — 8 1 11 Amortization expense — (3 ) (8 ) (1 ) — (1 ) (13 ) Transfer during the year — — 5 — (5 ) — — Effects of changes in foreign exchange rates 19 1 1 1 1 — 4 Net balance at December 31, 2018 422 22 18 15 13 2 70 Cost 422 84 65 39 13 3 204 Less accumulated amortization and impairment — (62 ) (47 ) (24 ) — (1 ) (134 ) Net balance at December 31, 2018 422 22 18 15 13 2 70 (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 year — 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 |
Investments Accounted for Und_2
Investments Accounted for Under Equity Method (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
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 December 31, 2018 Year ended December 31, 2017 At January 1, 1 16 Group share in loss (33 ) (29 ) Additions — — Reclassified to non-current 33 14 Effects of changes in foreign exchange rates — — At December 31 1 1 |
Summary of Share of Joint Ventures | Group share of joint venture’s net assets Group share of joint venture’s profit / (loss) (in millions of Euros) % interest At December 31, 2018 At December 31, 2017 At December 31, 2018 At December 31, 2017 Constellium-UACJ ABS LLC (A) 51.00 % (49 ) (14 ) (33 ) (29 ) Rhenaroll S.A. (B) 49.85 % 1 1 — — Group share (48 ) (13 ) (33 ) (29 ) Reclassified to non-current 49 14 — — Investment in joint venture 1 1 (33 ) (29 ) 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 in 2016. We have determined that, under the terms of the joint venture agreement, we do not control Constellium- UACJ ABS LLC because our existing rights associated with the decision-making process do not give us the ability to direct the relevant activities of the joint venture unilaterally and as a result, Constellium does not have power over the joint venture as of December 31, 2018. (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’ roll and rollers. |
Summary of Amounts Included in Consolidated Financial Statements in Accordance with Group Accounting Principles | The information presented hereafter reflects the amounts included in the Consolidated 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, 2018 At December 31, 2017 Current assets Cash and cash equivalents 8 5 Trade receivables and other 49 35 Inventories 68 57 Non-current Property, plant and equipment 166 161 Intangible assets — 1 Total Assets 291 259 Current liabilities Trade payables and other 79 34 Borrowings (A) 36 206 Non-current Borrowings (A) 271 47 Equity (95 ) (28 ) Total Equity and Liabilities 291 259 (A) In February 2018, the shareholders agreed to modify the terms of their loan to Constellium-UACJ ABS LLC by reducing the interest rate and extending the maturity to March 31, 2023. (in millions of Euros) Year ended December 31, 2018 Year ended December 31, 2017 Revenue 262 123 Cost of sales (309 ) (151 ) Selling and administrative expenses (10 ) (14 ) Loss from operations (57 ) (42 ) Finance costs (A) (7 ) (15 ) Net loss (64 ) (57 ) (A) Finance costs include a €11 million gain related to the shareholders’ loan modification for the year ended December 31, 2018. Constellium subsidiaries’ intercompany balances with Constellium-UACJ ABS LLC The transactions during the years and the year-end (in millions of Euros) At December 31, 2018 At December 31, 2017 Trades receivables and other—current 38 15 Other financial assets (A) 69 83 (A) Other financial assets correspond to the loan to Constellium-UACJ ABS LLC as of December 31, 2018 and 2017. As of December 31, 2018, the carrying value of the loan is €118 million (€97 million at December 31, 2017). The carrying value is presented net of €49 million of Constellium’s share of losses of joint venture (€ 14 million at December 31, 2017). (in millions of Euros) Year ended Year ended Revenue 169 59 Cost of sales (19 ) — Fees and recharges (A) 4 3 Finance income 4 6 (A) 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) Year ended Year ended Financial guarantees 11 11 Loan facility commitment 3 — Supplier guarantees 3 3 |
Deferred Income Taxes (Tables)
Deferred Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Deferred Income Tax | (in millions of Euros) At December 31, 2018 At December 31, 2017 Deferred income tax assets 163 164 Deferred income tax liabilities (22 ) (25 ) Net deferred income tax assets 141 139 |
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, 2018 and 2017. (in millions of Euros) At January 1, Recognized in FX At December 31, Profit or loss OCI Long-term assets (76 ) (15 ) — (3 ) (94 ) Inventories 4 1 — — 5 Pensions 130 (12 ) (7 ) 5 116 Derivative valuation (20 ) 22 8 2 12 Tax losses carried forward 78 (13 ) — (4 ) 61 Other (A) 23 15 — 3 41 Total 139 (2 ) 1 3 141 (A) Mainly non-deductible (in millions of Euros) At January 1, Recognized in FX 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 222 (54 ) (20 ) (9 ) 139 (A) Mainly non-deductible |
Components of Non Recognized Deferred Tax Assets | (in millions of Euros) At December 31, 2018 At December 31, 2017 Expiring within 5 years (45 ) (69 ) Expiring after 5 years and limited (89 ) (96 ) Unlimited (19 ) (18 ) Tax losses (153 ) (183 ) Long-term assets (107 ) (116 ) Pensions (18 ) (20 ) Other (43 ) (37 ) Deductible temporary differences (168 ) (173 ) Total (321 ) (356 ) |
Trade Payables and Other (Table
Trade Payables and Other (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Detailed Information about Trade Payables and Other | At December 31, 2018 At December 31, 2017 (in millions of Euros) Non-current Current Non-current Current Trade payables — 685 — 717 Fixed assets payables — 30 — 27 Employees’ entitlements — 160 — 159 Taxes payable other than income tax — 16 — 12 Deferred revenue (until December 31, 2017) — — 34 10 Contract liabilities (from January 1, 2018) 9 68 — — Other payables 18 9 20 5 Total Other 27 283 54 213 Total Trade payables and other 27 968 54 930 |
Detailed information of contract liabilities | At December 31, 2018 At January 1, 2018 (in millions of Euros) Non-current Current Non-current Current Deferred tooling revenue — — 14 — Advance payment from customers 7 9 18 9 Unrecognized variable consideration (A) 2 57 — 41 Other — 2 — 1 Total Contract liabilities 9 68 32 51 (A) Unrecognized variable consideration consists of expected volume rebates, discounts, incentives, refunds penalties and price concessions. |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Borrowings | December 31, 2018 December 31, (in millions of Euros) Nominal in Currency Nominal Effective Nominal In Euros (Arrangement Accrued Carrying Carrying Secured Pan US ABL (due 2022) — Floating 4.51 % — — — — 65 Secured Inventory Based Facility ( due 2019) — Floating — — — — — — Senior Unsecured Notes Constellium N.V. (Issued May 2014, due 2024) $ 400 5.75 % 6.26 % 349 (4 ) 3 348 332 Constellium N.V. (Issued May 2014, due 2021) € 300 4.63 % 5.16 % 300 (2 ) 2 300 298 Constellium N.V. (Issued February 2017, due 2025) $ 650 6.63 % 7.13 % 568 (12 ) 12 568 541 Constellium N.V. (Issued November 2017, due 2026) $ 500 5.88 % 6.26 % 437 (7 ) 10 440 413 Constellium N.V. (Issued November 2017, due 2026) € 400 4.25 % 4.57 % 400 (7 ) 6 399 395 Unsecured Revolving Credit Facility ( due 2021) (A) — Floating — — — — — — Other loans (including Finance leases) — — — 94 2 96 83 Total Borrowings 2,148 (32 ) 35 2,151 2,127 Of which non-current 2,094 2,021 Of which current 57 106 Constellium N.V. Senior Notes are guaranteed by certain subsidiaries. (A) On March 28, 2018, Constellium Issoire entered into a €10 million unsecured Revolving Credit Facility with BPI France, a related party. |
Summary of Reconciliation of Movement in Net Borrowings Explanatory | (in millions of Euros) Year ended Year ended December 31, 2017 At January 1, 2,127 2,468 Cash flows Proceeds from issuance of Senior Notes (A) (B) — 1,440 (Repayments) of Senior Notes (B) (C) — (1,559 ) (Repayments) / Proceeds from US Revolving Credit Facilities and other loans (68 ) 29 Arrangement fees payment — (29 ) Finance lease repayment and others (15 ) (13 ) Non-cash Movement in interests accrued or capitalized 12 (13 ) New finance leases 28 17 Deferred arrangement fees, step-up 2 7 Effects of changes in foreign exchange rates 65 (220 ) At December 31 2,151 2,127 (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. |
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, 2018 At December 31, 2017 U.S. Dollar 1,408 1,387 Euro 726 720 Other currencies 17 20 Total borrowings 2,151 2,127 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Financial Assets and Liabilities by Categories | 22.1 Financial assets and liabilities by categories At December 31, 2018 At December 31, 2017 (in millions of Euros) Notes At At Fair At Fair Total Loan and At Fair At Fair Total Cash and cash equivalents 13 164 — — 164 269 — — 269 Trade receivables 14 — — 481 481 306 — — 306 Finance lease receivables 14 — — — — 12 — — 12 Other financial assets 74 30 104 83 77 19 179 Total financial assets 238 30 481 749 670 77 19 766 At December 31, 2018 At December 31, 2017 (in millions of Euros) Notes At At Fair At Fair Total At At Fair At Fair Total Trade payables and fixed assets payables 20 715 — — 715 744 — — 744 Borrowings 21 2,151 — — 2,151 2,127 — — 2,127 Other financial liabilities — 79 10 89 — 66 — 66 Total financial liabilities 2,866 79 10 2,955 2,871 66 — 2,937 |
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, 2018 At December 31, 2017 (in millions of Euros) Non-current Current Total Non-current Current Total Derivatives 7 23 30 29 67 96 Aluminium and premium future contracts 2 7 9 6 39 45 Energy future contracts — — — — — — Other future contracts — — — — 1 1 Currency commercial contracts 3 12 15 21 20 41 Currency net debt derivatives 2 4 6 2 7 9 Loans (A) 67 2 69 81 2 83 Margin call — 5 5 — — — Other financial assets 74 30 104 110 69 179 Derivatives 29 60 89 43 23 66 Aluminium and premium future contracts 6 38 44 — 6 6 Energy future contracts — — — — — — Other future contracts 5 3 8 — 1 1 Currency commercial contracts 7 12 19 6 12 18 Net investment hedge — 4 4 — — — Currency net debt derivatives 11 3 14 37 4 41 Other financial liabilities 29 60 89 43 23 66 (A) Corresponds to a loan facility to Constellium-UACJ ABS LLC (See NOTE 18 – 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, copper and zinc 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). Trade receivables are classified as a Level 3 measurement under the fair value hierarchy. At December 31, 2018 At December 31, 2017 (in millions of Euros) Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total Other financial assets—derivatives 9 21 — 30 46 50 — 96 Other financial liabilities—derivatives 50 39 — 89 6 60 — 66 |
Financial Risk Management (Tabl
Financial Risk Management (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Statement [LineItems] | |
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 Consolidated Statement of Comprehensive Income / (Loss): (in millions of Euros) Notes Year ended 2018 Year ended 2017 Year ended 2016 Derivatives that do not qualify for hedge accounting Included in Other gains / (losses)—net Realized gains / (losses) on foreign currency derivatives—net 9 9 (19 ) (46 ) Unrealized (losses) / gains on foreign currency derivatives—net (A) 9 (1 ) 16 40 Derivatives that qualify for hedge accounting Included in Revenue Realized gains / (losses) on foreign currency derivatives—net 9 4 1 — Unrealized (losses) / gains on foreign currency derivatives—net 9 (2 ) 1 — Included in Other gains / (losses)—net Realized (losses) / gains on foreign currency derivatives—net 9 (2 ) 3 — Unrealized gains / (losses) on foreign currency derivatives—net — — — Realized gains / (losses) in ineffective portion of derivatives — — — Included in other comprehensive income / (Loss) Unrealized (losses) / gains on foreign currency derivatives—net (23 ) 48 (27 ) (Losses) reclassified from cash flow hedge reserve to Consolidated Income Statement (2 ) (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 years 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, 2018 At December 31, 2017 Number of financial (A) Exposure (in millions of Euros) Number of financial (A) Exposure (in millions of Euros) Rated Aa or better 2 22 3 52 Rated A 8 110 12 224 Rated Baa 2 4 3 19 Total 12 136 18 295 (A) Financial Counterparties for which the Group’s exposure is below €0.25 million have been excluded from the analysis. |
Summary of Undiscounted Contractual Financial Assets and Financial Liabilities Values by Relevant Maturity Groupings | The tables below show undiscounted contractual financial assets and financial liabilities values by relevant maturity groupings based on the remaining periods from December 31, 2018 and December 31, 2017 respectively to the contractual maturity date. At December 31, 2018 At December 31, 2017 Less than Between 1 - 5 years Over 5 years Less than Between 1 - 5 years Over 5 years Financial assets Net debt derivatives 5 12 — 6 3 — Net cash flows from derivative assets related to currencies and commodities 22 12 — 59 15 — Total 27 24 — 65 18 — Notes At December 31, 2018 At December 31, 2017 Less than Between 1 - 5 years After 5 years Less than 1 year Between 1 - 5 years After 5 years Financial liabilities Borrowings (A) 6 315 1,754 67 318 1,692 Interest (B) 114 422 173 103 421 264 Net debt derivatives 3 4 — 3 10 — Net cash flows from derivative liabilities related to currencies and commodities 56 35 — 17 11 — Trade payables and other (excludes deferred revenue and contract liabilities) 20 900 18 — 920 20 — Total 1,079 794 1,927 1,110 780 1,956 (A) Borrowings include the pan US ABL facility, which is considered short-term in nature and is included in the category “Less than 1 year” but exclude finance leases. (B) Interests disclosed are undiscounted forecast interest. |
Currency risk [member] | |
Statement [LineItems] | |
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, 2018. Forward derivative sales Maturity Year Less than 1 year Over 1 year USD/EUR 2019-2024 519 276 EUR/CHF 2019-2023 64 14 Other currencies 2019-2020 17 1 Forward derivative purchases Maturity Year Less than 1 year Over 1 year USD/EUR 2019-2024 543 93 EUR/CHF 2019-2024 118 62 EUR/CZK 2019-2020 76 61 Other currencies 2019 4 — |
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 2018 Year ended 2017 Year ended 2016 Derivatives Included in Finance costs—net Realized gains / (losses) on foreign currency derivatives—net 5 31 15 Unrealized gains / (losses) on foreign currency derivatives—net 23 (110 ) 30 Total 28 (79 ) 45 |
Commodity price risk [member] | |
Statement [LineItems] | |
Summary of Nominal Value of Derivatives | At December 31, 2018, the nominal amount of commodity derivatives is as follows: (in millions of Euros) Maturity Less than 1 year Over 1 year Aluminium 2019-2023 392 48 Premium 2019-2021 10 4 Copper 2019-2021 5 5 Silver 2019-2020 9 — Zinc 2019-2021 8 17 Natural gas 2019-2020 4 2 |
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 Year ended Derivatives Included in Other gains / (losses)—net Realized gain / (loss) on commodity derivatives—net 7 16 (16 ) Unrealized (loss) / gain on commodity derivatives—net (83 ) 41 31 |
Non Us [member] | |
Statement [LineItems] | |
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/US Dollar exchange rate. The table below summarizes the impact on profit and Equity (before tax effect) of a 10% strengthening of the US Dollar versus the Euro for non US 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) 18 (34 ) Commercial transaction exposure 22 (34 ) Cash in Bank and intercompany loans 133 — Borrowings (150 ) — Derivatives on financing transaction 17 — Financing transaction exposure — — Total 22 (34 ) (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 years when these sales are recognized. The impact on pretax equity (€34 million) relates to derivatives hedging future sales spread from 2019 to 2022 which are designated as cash flow hedges. |
USD [member] | |
Statement [LineItems] | |
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 (5 ) 7 |
Pensions and Other Post-emplo_2
Pensions and Other Post-employment Benefit Obligations (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Statement [LineItems] | |
Summary of Actuarial Assumptions | Pension and other post-employment benefit obligations were updated based on the discount rates applicable at December 31, 2018. The principal actuarial assumptions used at December 31, 2018 and 2017 were as follows: At December 31, 2018 At December 31, 2017 Rate of increase in Rate of increase Discount rate Rate of increase in Rate of increase Discount rate Switzerland 1.50% — 0.80% 1.50% — 0.65% US — — — — — — Hourly pension 2.20% — 4.40%-4.45% 2.20% — 3.70%-3.75% Salaried pension 3.80% — 4.45% 3.80% — 3.80% OPEB (A) 3.80% — 4.40%-4.55% 3.80% — 3.70%-3.85% Other benefits 3.80% — 4.25%-4.40% 3.80% — 3.60%-3.70% France 1.50%-2.50% 2.00% — 1.50%-1.75% 2.00% — Retirements — — 1.65% — — 1.50% Other benefits — — 1.35% — — 1.20% Germany 2.75% 1.70% 1.70% 2.75% 1.70% 1.60% (A) The other main financial assumptions used for the OPEB (healthcare plans, which are predominantly in the US) were: • Medical trend rate: pre 65: 6.70% starting in 2019 decreasing gradually to 4.50% until 2026 and stable onwards and post 65: 5.80% starting in 2019 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 (in millions of Euros) At December 31, 2018 At December 31, 2017 Pension Other Total Pension Other Total Present value of funded obligation 674 — 674 691 — 691 Fair value of plan assets (380 ) — (380 ) (387 ) — (387 ) Deficit of funded plans 294 — 294 304 — 304 Present value of unfunded obligation 115 201 316 110 250 360 Net liability arising from defined benefit obligation 409 201 610 414 250 664 |
Details of Movement in Net Defined Benefit Obligations | Movement in net defined benefit obligations At December 31, 2018 (in millions of Euros) Defined benefit obligations Plan Net defined Pension Other Total At January 1, 2018 801 250 1,051 (387 ) 664 Included in the Consolidated Income Statement Current service cost 18 6 24 — 24 Interest cost / (income) 16 8 24 (9 ) 15 Past service cost — (36 ) (36 ) — (36 ) Immediate recognition of gains / (losses) arising over the year — — — — — Administration expenses — — — 2 2 Included in the Statement of Comprehensive Income / (Loss) Remeasurements due to: —actual return less interest on plan assets — — — 26 26 —changes in financial assumptions (30 ) (15 ) (45 ) — (45 ) —changes in demographic assumptions (5 ) (1 ) (6 ) — (6 ) —experience losses (1 ) (2 ) (3 ) — (3 ) Effects of changes in foreign exchange rates 22 9 31 (16 ) 15 Included in the Consolidated Statement of Cash Flows — Benefits paid (35 ) (19 ) (54 ) 31 (23 ) Contributions by the Group — — — (23 ) (23 ) Contributions by the plan participants 3 1 4 (4 ) — At December 31, 2018 789 201 990 (380 ) 610 At December 31, 2017 (in millions of Euros) Defined benefit obligations Plan Net defined 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 (10 ) 17 Past service cost (16 ) (4 ) (20 ) — (20 ) Immediate recognition of gains / (losses) arising over the year — — — — — Administration expenses — — — 3 3 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 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 |
Details of Net Defined Benefit Obligations by Country | Net defined benefit obligations by country At December 31, 2018 At December 31, 2017 (in millions of Euros) Defined Plan assets Net defined Defined benefit Plan assets Net France 151 (3 ) 148 148 (3 ) 145 Germany 136 (1 ) 135 142 (1 ) 141 Switzerland 251 (178 ) 73 251 (177 ) 74 United States 451 (198 ) 253 509 (206 ) 303 Other countries 1 — 1 1 — 1 Total 990 (380 ) 610 1,051 (387 ) 664 |
Details of Plan Asset Categories | Plan asset categories At December 31, 2018 At December 31, 2017 (in millions of Euros) Quoted in an Unquoted Total Quoted in an Unquoted in Total Cash & cash equivalents 6 — 6 3 — 3 Equities 95 40 135 109 51 160 Bonds 71 110 181 68 106 174 Property 10 33 43 8 29 37 Other 5 10 15 5 8 13 Total fair value of plan assets 187 193 380 193 194 387 |
Summary of Benefit Payments Expected Paid Either by Pension Funds or Directly to Beneficiaries | Benefit 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, 2019 53 2020 49 2021 52 2022 54 2023 56 2024 to 2028 290 |
Actuarial assumption of discount rates [member] | |
Statement [LineItems] | |
Summary of Actuarial Assumptions | At December 31, 2018, 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: (in millions of Euros) 0.50% increase in 0.50% decrease in France (9 ) 10 Germany (8 ) 9 Switzerland (19 ) 22 United States (26 ) 28 Total sensitivity on Defined Benefit Obligations (62 ) 69 |
Provisions (Tables)
Provisions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Changes in Provisions | (in millions of Euros) Notes Close down and Restructuring Legal claims and Total At January 1, 2018 81 5 67 153 Transfer from provision to contract liability 2 — — (23 ) (23 ) Allowance 3 1 15 19 Amounts used (2 ) (2 ) (4 ) (8 ) Unused amounts reversed — (1 ) (6 ) (7 ) Unwinding of discounts (1 ) — — (1 ) Effects of changes in foreign exchange rates 2 — 1 3 Transfer — — 4 4 At December 31, 2018 83 3 54 140 Current 5 1 40 46 Non-Current 78 2 14 94 Total Provisions 83 3 54 140 (in millions of Euros) Notes Close down and Restructuring Legal claims and 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 |
Summary of Legal Claims and Other Costs | Legal claims and other costs (in millions of Euros) At December 31, 2018 At December 31, 2017 Maintenance and customer related provisions (A) 6 25 Litigation (B) 41 36 Disease claims (C) 4 3 Other 3 3 Total Provisions for legal claims and other costs 54 67 (A) Contract liabilities related to refund penalties and price concessions previously presented as provisions have been reclassified for €23 million as of January 01, 2018. (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, 2018, 6 cases in which gross negligence is alleged (“ faute inexcusable |
Share Capital (Tables)
Share Capital (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Schedule of Share Capital | in millions of Euros Number of shares Share capital Share premium At January 1, 2018 134,510,623 3 420 New shares issued (A) 1,488,771 — — At December 31, 2018 (B) 135,999,394 3 420 (A) Constellium N.V. issued and granted 1,488,771 Class A ordinary shares to certain employees related to share-based compensation plans. (B) Constellium N.V. holds 38,597 Class A ordinary shares at December 31, 2018. |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Non Cancellable Operating Leases Commitments | The future aggregate minimum lease payments under non-cancellable (in millions of Euros) At December 31, 2018 At December 31, 2017 Less than 1 year 24 19 1 to 5 years 63 49 More than 5 years 46 40 Total non-cancellable 133 108 |
Summary of Capital Expenditures Commitments | Capital expenditures commitments (in millions of Euros) At December 31, 2018 At December 31, 2017 Computer Software 1 2 Property, plant and equipment 123 99 Total capital expenditure commitments 124 101 |
Related Parties (Tables)
Related Parties (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [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 9 8 10 Directors’ fees 1 1 1 Share-based compensation 6 4 2 Post-employments benefits — — — Termination benefits — 1 1 Employer social contribution 1 1 2 Total 17 15 16 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Performance-Based RSU | The following table lists the inputs to the model used for the PSUs granted in 2018 and 2017: Year ended Year ended Fair value at grant date (in euros) 15.31 11.52 Share price at grant date (in euros) 10.27 7.50 Dividend yield — — Expected volatility (A) 75% 75% Risk-free interest rate (US government bond yield) 2.60% 1.51% Model used Monte Carlo Monte Carlo (A) Volatilities for the Company and companies included in indices were estimated based on observed historical volatilities over period equal to PSU vesting period. |
Summary of Movements in Shares | The following table illustrates the number 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, 2017 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 Granted (A) 701,109 € 15.31 595,687 € 10.23 30,709 € 10.27 Over-performance (B) 633,670 € 7.28 — — — — Vested (1,265,635 ) € 7.09 (155,000 ) € 10.83 (68,136 ) € 4.85 Forfeited (C) (241,820 ) € 8.40 (72,663 ) € 8.57 — — At December 31, 2018 3,085,164 € 10.45 1,312,524 € 8.47 57,913 € 8.31 (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, 213,820 were forfeited following the departure of certain beneficiaries and 28,000 were forfeited in relation to the non-fulfilment |
Subsidiaries and Operating Se_2
Subsidiaries and Operating Segments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Investments accounted for using equity method [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, 2018. 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 US 100% Full Constellium Engley (Changchun) Automotive Structures Co Ltd. 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 Trading, S. DE R.L. DE C.V. Mexico 100% Full Astrex Inc Canada 50% Full Constellium Automotive Zilina S.r.o. Slovakia 100% Full Constellium Automotive Nanjing Co Ltd China 100% Full Constellium Automotive Spain SL Spain 100% Full A&T Constellium Issoire S.A.S. France 100% Full Constellium Montreuil Juigné S.A.S. France 100% Full Constellium China Limited China 100% Full Constellium Japan KK Japan 100% Full Constellium Rolled Products Ravenswood, LLC US 100% Full Constellium Southeast Asia PTE LTD Singapore 100% Full Constellium Ussel S.A.S. France 100% Full AluInfra Services SA (A) Switzerland 50% Full P&ARP Constellium Deutschland GmbH Germany 100% Full Constellium Rolled Products Singen GmbH KG Germany 100% Full Constellium Property and Equipment Company, LLC US 100% Full Constellium Neuf Brisach France 100% Full Constellium Muscle Shoals LLC US 100% Full Constellium Holding Muscle Shoals LLC US 100% Full Constellium Muscle Shoals Funding II LLC US 100% Full Listerhill Total Maintenance Center LLC US 100% Full Constellium Metal Procurement LLC US 100% Full Constellium-UACJ ABS LLC US 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 UK Limited United Kingdom 100% Full Constellium U.S. Holdings I, LLC US 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 (A) AluInfra Services SA, the joint venture created with Novelis in July 2018, is consolidated as a joint operation and is immaterial in the Group Consolidated Financial Statements |
Parent Company (Tables)
Parent Company (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [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, 2018 At December 31, 2017 Assets Current assets Cash and cash equivalents — — Trade receivables and other 109 53 Other financial assets 38 28 147 81 Non-current Property, plant and equipment — — Financial assets 2,106 2,143 Investments in subsidiaries 144 131 Deferred income tax assets 2 — 2,252 2,274 Total Assets 2,399 2,355 Liabilities Current liabilities Trade payables and other 5 6 Income tax payable 21 — Other financial liabilities 33 22 59 28 Non-current Borrowings 2,022 1,957 2,022 1,957 Total Liabilities 2,081 1,985 Equity Share capital 3 3 Share premium 429 429 Accumulated retained earnings (239 ) (17 ) Other reserves 38 25 Net income/ (loss) 87 (70 ) Total Equity 318 370 Total Equity and Liabilities 2,399 2,355 |
Statement of Cash Flows 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 Year ended Year ended Revenue 3 1 1 Gross profit 3 1 1 Selling and administrative expenses (15 ) (5 ) (8 ) Employee benefit expenses (3 ) (1 ) — Loss from recurring operations (15 ) (5 ) (7 ) Other income — — — Other expense (3 ) — — Loss from operations (18 ) (5 ) (7 ) Financial result—net 80 (65 ) 1 Income / (loss) before income tax 62 (70 ) (6 ) Income tax 25 — — Net income / (loss) 87 (70 ) (6 ) Other comprehensive (loss) / income — — — Total comprehensive income / (loss) 87 (70 ) (6 ) |
Statement of Financial Position 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 income/ (loss) 87 (70 ) (6 ) Adjustments Finance cost—net (80 ) 65 (1 ) Dividend received — — — Income tax (25 ) — — Interest paid (102 ) (148 ) (95 ) Interest received 134 149 103 Changes in working capital — — — Trade receivables and other — (1 ) — Other financial liabilities — — — Trade payables and other — 2 (1 ) Net cash flows from / (used in) operating activities 14 (3 ) — Investments in subsidiaries (1 ) (11 ) — Current account with subsidiaries and related parties (13 ) 180 (186 ) 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 investing activities (14 ) (639 ) (380 ) Net proceeds received from issuance of shares — 259 — Proceeds from issuance of Senior Notes — 1,440 375 Payment of deferred financing costs — (29 ) (12 ) Repayment of Senior Notes — (949 ) — Payment of exit fees — (61 ) — Realized foreign exchange gains / (losses) — (17 ) 17 Other — (1 ) — Net cash flows from financing activities — 642 380 Net increase in cash and cash equivalents — — — Cash and cash equivalents—beginning of year — — — Effect of exchange rate changes on cash and cash equivalents — — — Cash and cash equivalents—end of year — — — |
Acquisition of Constellium-Bo_2
Acquisition of Constellium-Bowling Green (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Text block [abstract] | |
Summary of Preliminary Goodwill Arising as a Result of Preliminary Allocation of Purchase Price to Assets Acquired and Liabilities Assumed | The following table reflects the goodwill arising as a result of the preliminary allocation of purchase price to the Bowling Green assets acquired and liabilities assumed as of January 10, 2019: (in millions of Euros) Estimated Fair Value Cash and cash equivalents 8 Trade receivables and other 49 Inventories 74 Property, plant and equipment 165 Trade payables and other (45 ) Borrowings (75 ) Net asset acquired at fair value 176 Preliminary Goodwill 22 Total Consideration 198 |
General Information - Additiona
General Information - Additional Information (Detail) | Dec. 31, 2018EmployeesFacilitysiteCenter |
Disclosure of general information [abstract] | |
Number of production facilities | Facility | 26 |
Number of administrative and commercial sites | site | 3 |
Number of R&D centers | Center | 3 |
Number of employees | Employees | 13,000 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Opening Financial Position Reclassification (IFRS 15 Standard) (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of reclassifications or changes in presentation [line items] | ||||
Trade receivables and other | € 485 | € 467 | ||
Trade payables and other | (1,025) | (984) | ||
Provisions | € (140) | (130) | € (153) | € (149) |
Increase (decrease) due to application of IFRS 15 [member] | ||||
Disclosure of reclassifications or changes in presentation [line items] | ||||
Trade receivables and other | 18 | |||
Trade payables and other | (41) | |||
Provisions | € 23 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Additional Information (Detail) - EUR (€) € in Millions | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2019 | |
Summary of significant accounting policies [line items] | ||||
Loss allowance recognized in opening retained earnings net of tax | € 2 | € 0 | ||
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. | |||
Interest cost on pension and other benefits | € 15 | € 17 | € 21 | |
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 | |||
IFRS 16 [member] | ||||
Summary of significant accounting policies [line items] | ||||
Right-of-use assets expect to recognize | € 102 | |||
Lease liabilities expect to recognize | € 102 | |||
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 Accoun_6
Summary Of Significant Accounting Policies - Disclosure of Foreign Exchange Rates (Detail) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
U.S. Dollar [member] | |||
Disclosure of foreign exchange rates [line items] | |||
Average rate | 1.1798 | 1.1273 | 1.1063 |
Closing rate | 1.1450 | 1.1993 | 1.0541 |
Swiss Franc [member] | |||
Disclosure of foreign exchange rates [line items] | |||
Average rate | 1.1546 | 1.1103 | 1.0901 |
Closing rate | 1.1269 | 1.1702 | 1.0739 |
Czech Republic, Koruny [member] | |||
Disclosure of foreign exchange rates [line items] | |||
Average rate | 25.6452 | 26.3151 | 27.0342 |
Closing rate | 25.7240 | 25.5349 | 27.0210 |
Revenue - Summary of Revenue by
Revenue - Summary of Revenue by Product Line (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of products and services [line items] | |||
Revenue | € 5,686 | € 5,237 | € 4,743 |
Packaging rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 2,245 | 2,146 | 2,003 |
Automotive rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 636 | 483 | 319 |
Specialty and other thin-rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 169 | 176 | 160 |
Aerospace rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 773 | 760 | 795 |
Transportation, Industry and other rolled products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 566 | 541 | 484 |
Automotive extruded products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 714 | 614 | 537 |
Other extruded products [member] | |||
Disclosure of products and services [line items] | |||
Revenue | 573 | 504 | 456 |
Other [member] | |||
Disclosure of products and services [line items] | |||
Revenue | € 10 | € 13 | € (11) |
Revenue - Disclosure of geograp
Revenue - Disclosure of geographical areas (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of geographical areas [line items] | |||
Revenue | € 5,686 | € 5,237 | € 4,743 |
France [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 554 | 557 | 493 |
Germany [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 1,339 | 1,217 | 1,042 |
United Kingdom [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 175 | 188 | 203 |
Switzerland [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 77 | 123 | 86 |
Other Europe [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 1,038 | 940 | 798 |
United States [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 1,897 | 1,691 | 1,511 |
Canada [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 107 | 78 | 68 |
Asia and Other Pacific [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | 300 | 270 | 292 |
Other countries [member] | |||
Disclosure of geographical areas [line items] | |||
Revenue | € 199 | € 173 | € 250 |
Revenue - Additional Informatio
Revenue - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
Performance obligations satisfied over time [member] | |
Disclosure of geographical areas [line items] | |
Percentage of payment option over total revenue | 1.00% |
Operating Segment Information -
Operating Segment Information - Additional Information (Detail) € in Millions | 12 Months Ended | ||
Dec. 31, 2018EUR (€)EmployeesFacility | Dec. 31, 2017EUR (€) | Dec. 31, 2016EUR (€) | |
Disclosure of operating segments [line items] | |||
Number of employees | Employees | 13,000 | ||
Revenue | € 5,686 | € 5,237 | € 4,743 |
Information about major customers | No other single customer contributed 10% or more to the Group's revenue for 2018, 2017 and 2016. | ||
P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Number of facilities | Facility | 4 | ||
Number of employees | Employees | 3,800 | ||
Revenue | € 3,050 | 2,805 | 2,482 |
P&ARP [member] | Two largest customers [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | € 812 | 1,364 | 1,220 |
A&T [member] | |||
Disclosure of operating segments [line items] | |||
Number of facilities | Facility | 6 | ||
Number of employees | Employees | 4,000 | ||
Revenue | € 1,339 | 1,301 | 1,279 |
AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Number of facilities | Facility | 16 | ||
Number of employees | Employees | 4,500 | ||
Revenue | € 1,287 | € 1,118 | € 993 |
Operating Segment Information_2
Operating Segment Information - Summary of Segment Revenue (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of operating segments [line items] | |||
Revenue | € 5,686 | € 5,237 | € 4,743 |
P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 3,050 | 2,805 | 2,482 |
A&T [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,339 | 1,301 | 1,279 |
AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,287 | 1,118 | 993 |
Holdings & Corporate [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 10 | 13 | (11) |
Segment [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 5,748 | 5,283 | 4,791 |
Segment [member] | P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 3,059 | 2,812 | 2,498 |
Segment [member] | A&T [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,389 | 1,335 | 1,302 |
Segment [member] | AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 1,290 | 1,123 | 1,002 |
Segment [member] | Holdings & Corporate [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | 10 | 13 | (11) |
Inter segment [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | (62) | (46) | (48) |
Inter segment [member] | P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | (9) | (7) | (16) |
Inter segment [member] | A&T [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | (50) | (34) | (23) |
Inter segment [member] | AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Revenue | € (3) | € (5) | € (9) |
Operating Segment Information_3
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 Information_4
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | € 498 | € 448 | € 398 |
Metal price lag | 22 | 4 | |
Start-up and development costs | (21) | (17) | (25) |
Manufacturing system and process transformation costs | (2) | (5) | |
Wise integration and acquisition costs | (2) | ||
Wise one-time costs | (20) | ||
Wise purchase price adjustment | 20 | ||
Share-based compensation costs | (12) | (8) | (6) |
Gains on pension plan amendments | 36 | 20 | |
Depreciation and amortization | (197) | (171) | (155) |
Restructuring costs | (1) | (4) | (5) |
Unrealized (losses) / gains on derivatives | (84) | 57 | 71 |
Unrealized exchange (losses) / gains from the remeasurement of monetary assets and liabilities-net | (4) | 3 | |
Gains / (losses) on disposals | 186 | (3) | (10) |
Other | (1) | (1) | |
(Loss) / Income from operations | 404 | 338 | 267 |
Finance costs-net | (149) | (260) | (188) |
Share of loss of joint-ventures | (33) | (29) | (14) |
Income before income tax | 222 | 49 | 65 |
Income tax (expense) / benefit | (32) | (80) | (69) |
Net income / (loss) | 190 | (31) | (4) |
P&ARP [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | 243 | 204 | 204 |
A&T [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | 152 | 146 | 118 |
AS&I [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | 125 | 120 | 104 |
Start-up and development costs | 21 | 16 | |
Holdings & Corporate [member] | |||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | |||
Adjusted EBITDA | € (22) | € (22) | € (28) |
Operating Segment Information_5
Operating Segment Information - Summary of Segment adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (Parenthetical) (Detail) - EUR (€) € in Millions | 1 Months Ended | 12 Months Ended | ||
Jul. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | ||||
Start-up costs and development cost | € (21) | € (17) | € (25) | |
Wise one-time cost | (20) | |||
Cash received from Wise purchase price adjustment | 21 | |||
Wise purchase price adjustment | 20 | |||
Gains / (Losses) on pension plans amendments | 36 | 20 | ||
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 | |||
AS&I [member] | ||||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | ||||
Start-up costs and development cost | € 21 | € 16 | ||
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 | |||
Disposal of leased assets [member] | Novelis [member] | ||||
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items] | ||||
Sale of assets | € 200 | |||
Net gain on sale of assets | € 190 |
Operating Segment Information_6
Operating Segment Information - Summary of Segment Capital Expenditures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of operating segments [line items] | |||
Segment capital expenditures | € (277) | € (276) | € (355) |
P&ARP [member] | |||
Disclosure of operating segments [line items] | |||
Segment capital expenditures | (97) | (115) | (166) |
A&T [member] | |||
Disclosure of operating segments [line items] | |||
Segment capital expenditures | (70) | (73) | (96) |
AS&I [member] | |||
Disclosure of operating segments [line items] | |||
Segment capital expenditures | (105) | (83) | (84) |
Holdings & Corporate [member] | |||
Disclosure of operating segments [line items] | |||
Segment capital expenditures | € (5) | € (5) | € (9) |
Operating Segment Information_7
Operating Segment Information - Summary of Segment Assets (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of operating segments [line items] | ||||
Total Assets | € 3,901 | € 3,711 | ||
Deferred income tax assets | 163 | 164 | ||
Cash and cash equivalents | 164 | 269 | € 347 | € 472 |
Other financial assets | 104 | 179 | ||
Segment [member] | ||||
Disclosure of operating segments [line items] | ||||
Total Assets | 3,470 | 3,099 | ||
Segment [member] | P&ARP [member] | ||||
Disclosure of operating segments [line items] | ||||
Total Assets | 1,791 | 1,629 | ||
Segment [member] | A&T [member] | ||||
Disclosure of operating segments [line items] | ||||
Total Assets | 831 | 769 | ||
Segment [member] | AS&I [member] | ||||
Disclosure of operating segments [line items] | ||||
Total Assets | 544 | 449 | ||
Segment [member] | Holdings & Corporate [member] | ||||
Disclosure of operating segments [line items] | ||||
Total Assets | 304 | 252 | ||
Unallocated amounts [member] | ||||
Disclosure of operating segments [line items] | ||||
Deferred income tax assets | 163 | 164 | ||
Cash and cash equivalents | 164 | 269 | ||
Other financial assets | € 104 | € 179 |
Information by Geographic Are_2
Information by Geographic Area - Summary of Physical Location of Property, Plant and Equipment (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property, plant and equipment | € 1,666 | € 1,517 | € 1,477 |
United States [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property, plant and equipment | 740 | 681 | |
France [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property, plant and equipment | 613 | 586 | |
Germany [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property, plant and equipment | 181 | 156 | |
Czech Republic [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property, plant and equipment | 84 | 65 | |
Other countries [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Property, plant and equipment | € 48 | € 29 |
Expenses by Nature - Summary of
Expenses by Nature - Summary of Information about Expenses by Nature (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Expenses by nature [abstract] | |||
Raw materials and consumables used | € (3,561) | € (3,197) | € (2,792) |
Employee benefit expenses | (927) | (907) | (876) |
Energy costs | (140) | (138) | (140) |
Sub-contractors | (92) | (99) | (108) |
Freight out costs | (143) | (124) | (128) |
Professional fees | (74) | (77) | (85) |
Operating lease expenses | (31) | (27) | (27) |
Depreciation and amortization | (197) | (171) | (155) |
Other operating expenses | (271) | (229) | (186) |
Other gains / (losses)-net | 154 | 70 | 21 |
Total operating expenses | € (5,282) | € (4,899) | € (4,476) |
Employee Benefit Expenses - Sum
Employee Benefit Expenses - Summary of Employee Benefit Expenses (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Classes of employee benefits expense [abstract] | |||
Wages and salaries | € (889) | € (872) | € (841) |
Pension costs-defined benefit plans | (20) | (21) | (22) |
Other post-employment benefits | (6) | (6) | (7) |
Share-based compensation | (12) | (8) | (6) |
Total employee benefit expenses | € (927) | € (907) | € (876) |
Other Gains _ (Losses)-Net - Su
Other Gains / (Losses)-Net - Summary of Other Gains/(Losses) Net (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Analysis of income and expense [abstract] | |||
Realized gains / (losses) on derivatives | € 14 | € (62) | |
Unrealized (losses) / gains on derivatives at fair value through profit and loss-net | (84) | € 57 | 71 |
Unrealized exchange (losses) / gains from the remeasurement of monetary assets and liabilities-net | (4) | 3 | |
Gains on pension plan amendments | 36 | 20 | |
Gains / (losses) on disposal | 186 | (3) | (10) |
Wise purchase price adjustment | 20 | ||
Other | 2 | (1) | |
Total other gains / (losses)-net | € 154 | € 70 | € 21 |
Other Gains _ (Losses)-Net - _2
Other Gains / (Losses)-Net - Summary of Other Gains/(Losses) Net (Parenthetical) (Detail) - EUR (€) € in Millions | 1 Months Ended | 12 Months Ended | ||
Jul. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Analysis of other gains losses [line items] | ||||
Gains / (Losses) on pension plans amendments | € 36 | € 20 | ||
Cash payment received on acquisition | € 21 | |||
Gain net of costs on acquisition | € 20 | |||
Disposal of leased assets [member] | Novelis [member] | ||||
Analysis of other gains losses [line items] | ||||
Sale of assets | € 200 | |||
Net gain on sale of assets | € 190 |
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Analysis of income and expense [line items] | |||
Currency gains /(losses) | € 11 | € (6) | € 1 |
Realized exchange gains / (losses) on foreign currency derivatives-net | 11 | (15) | (46) |
Unrealized (losses) / gains on foreign currency derivatives-net | (3) | 17 | 40 |
Exchange gains / (losses) from the remeasurement of monetary assets and liabilities-net | 3 | (8) | 7 |
Revenue [member] | |||
Analysis of income and expense [line items] | |||
Currency gains /(losses) | 2 | 2 | |
Cost of sales [member] | |||
Analysis of income and expense [line items] | |||
Currency gains /(losses) | 2 | (4) | 4 |
Other gains / (losses - net [member] | |||
Analysis of income and expense [line items] | |||
Currency gains /(losses) | € 7 | € (4) | € (3) |
Currency Gains _ (Losses) - S_2
Currency Gains / (Losses) - Summary of Foreign Currency Translation Reserve (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Movement in foreign currency translation reserve [abstract] | ||
Foreign currency translation reserve at January 1 | € (7) | € 12 |
Effect of currency translation differences | 10 | (19) |
Foreign currency translation reserve at December 31 | € 3 | € (7) |
Finance Costs-Net - Summary of
Finance Costs-Net - Summary of Finance Costs-Net (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Analysis of income and expense [abstract] | |||
Interest received | € 7 | € 7 | € 5 |
Finance income | 7 | 7 | 5 |
Interest expense on borrowings | (118) | (147) | (171) |
Expenses on factoring arrangements | (18) | (16) | (12) |
Interest expense on finance leases | (5) | (3) | (4) |
Net loss on settlement of debt | (91) | (4) | |
Realized and unrealized gains / (losses) on debt derivatives at fair value | 28 | (79) | 45 |
Realized and unrealized exchange (losses) / gains on financing activities-net | (22) | 91 | (42) |
Interest cost on pension and other benefits | (15) | (17) | (21) |
Other finance expenses | (10) | (12) | 5 |
Capitalized borrowing costs | 4 | 7 | 11 |
Finance expenses | (156) | (267) | (193) |
Finance costs-net | € (149) | € (260) | € (188) |
Finance Costs-Net - Summary o_2
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 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Analysis of income and expense [line items] | |||||
Net loss on settlement of debt | € (91) | € (4) | |||
Exit fees | 88 | ||||
Other finance expense | € (10) | € (12) | € 5 | ||
Capitalisation rate | 6.00% | 6.00% | 7.00% | ||
Constellium N.V. Senior Notes [member] | |||||
Analysis of income and expense [line items] | |||||
Interest expense on debt instrument | € 113 | € 136 | |||
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 | ||||
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 | ||||
Pan US ABL Facility [member] | |||||
Analysis of income and expense [line items] | |||||
Interest expense on debt instrument | 4 | ||||
Constellium UACJ loan modification [member] | |||||
Analysis of income and expense [line items] | |||||
Other finance expense | € (6) |
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Major components of tax expense (income) [abstract] | |||
Current tax expense | € (30) | € (26) | € (19) |
Deferred tax expense | (2) | (54) | (50) |
Income tax (expense) / benefit | € (32) | € (80) | € (69) |
Income Tax - Summary of Income
Income Tax - Summary of Income Tax Reconciliation Using Composite Statutory Income Tax Rate Applicable by Tax Jurisdiction (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Reconciliation of average effective tax rate and applicable tax rate [abstract] | |||
Income before income tax | € 222 | € 49 | € 65 |
Composite statutory income tax rate applicable by tax jurisdiction | 24.10% | 31.90% | 24.90% |
Income tax (expense) / benefit calculated at composite statutory tax rate applicable by tax jurisdiction | € (53) | € (16) | € (16) |
Tax effect of: | |||
Changes in recognized and unrecognized deferred tax assets | 30 | (61) | (45) |
Change in tax rate | (11) | (6) | |
Other | (9) | 8 | (2) |
Income tax (expense) / benefit | € (32) | € (80) | € (69) |
Effective income tax rate | 14.00% | 163.00% | 106.00% |
Income Tax - Summary of Incom_2
Income Tax - Summary of Income Tax Reconciliation Using Composite Statutory Income Tax Rate Applicable by Tax Jurisdiction (Parenthetical) (Detail) - EUR (€) € in Millions | 12 Months Ended | ||||
Dec. 31, 2022 | Dec. 31, 2020 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of tax reconciliation using composite statutory income tax rate applicable by tax jurisdictions [line Items] | |||||
Income tax rate | 24.10% | 31.90% | 24.90% | ||
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 | 26.00% | 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 | 34.43% | 39.20% | 34.43% | ||
France [member] | Changes in tax rates or tax laws enacted or announced [member] | |||||
Disclosure of tax reconciliation using composite statutory income tax rate applicable by tax jurisdictions [line Items] | |||||
Income tax rate | 25.82% | 28.92% |
Income Tax - Additional Informa
Income Tax - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of income tax expense [line Items] | |||
Statutory income tax rate | 24.10% | 31.90% | 24.90% |
United States [member] | |||
Disclosure of income tax expense [line Items] | |||
Statutory income tax rate | 26.00% | 40.00% | 40.00% |
France [member] | |||
Disclosure of income tax expense [line Items] | |||
Statutory income tax rate | 34.43% | 39.20% | 34.43% |
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings per share [abstract] | |||
Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share | € 188 | € (31) | € (4) |
Earnings Per Share - Summary of
Earnings Per Share - Summary of Number of Shares Attributable to Equity Holders (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Weighted average ordinary shares and adjusted weighted average ordinary shares [abstract] | |||
Weighted average number of ordinary shares used to calculate basic earnings per share | 134,761,736 | 110,164,320 | 105,500,327 |
Effect of other dilutive potential ordinary shares | 3,384,178 | ||
Weighted average number of ordinary shares used to calculate diluted earnings per share | 138,145,914 | 110,164,320 | 105,500,327 |
Earnings Per Share - Summary _2
Earnings Per Share - Summary of Number of Shares Attributable to Equity Holders (Parenthetical) (Detail) - shares | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Weighted average ordinary shares and adjusted weighted average ordinary shares [abstract] | ||
Potential Ordinary shares | 3,291,875 | 411,902 |
Earnings Per Share - Summary _3
Earnings Per Share - Summary of Earnings Per Share Attributable to the Equity Holders (Detail) - € / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings per share [abstract] | |||
Basic | € 1.40 | € (0.28) | € (0.04) |
Diluted | € 1.37 | € (0.28) | € (0.04) |
Cash and Cash Equivalents - Sum
Cash and Cash Equivalents - Summary of Cash and Cash Equivalents (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Cash and cash equivalents [abstract] | ||||
Cash in bank and on hand | € 164 | € 269 | ||
Total Cash and cash equivalents | € 164 | € 269 | € 347 | € 472 |
Cash and Cash Equivalents - Add
Cash and Cash Equivalents - Additional Information (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of cash and cash equivalents [line Items] | ||
Cash in bank and on hand | € 164 | € 269 |
Subsidiaries in capital control restrictions countries [member] | ||
Disclosure of cash and cash equivalents [line Items] | ||
Cash in bank and on hand | € 18 | € 12 |
Trade Receivables and Other - S
Trade Receivables and Other - Summary of Trade Receivables and Other (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Disclosure of trade and other receivables [line items] | |||
Non-current trade receivables | € 0 | € 0 | |
Finance lease receivables | 6 | ||
Other taxes | 0 | 0 | |
Unbilled tooling costs | 28 | ||
Contract assets | 28 | € 32 | |
Prepaid expenses | 1 | 5 | |
Restricted cash | 1 | ||
Other | 7 | 8 | |
Total Other receivables | 64 | 48 | |
Total Trade receivables and Other | 64 | 48 | |
Current trade receivables | 481 | 306 | |
Finance lease receivables | 6 | ||
Current income tax receivables | 43 | 58 | |
Other taxes | 33 | 30 | |
Unbilled tooling costs | 0 | 0 | |
Contract assets | 2 | € 1 | |
Prepaid expenses | 12 | 8 | |
Restricted cash | 0 | 0 | |
Other | 16 | 11 | |
Total Other receivables | 106 | 113 | |
Total Trade receivables and Other | 587 | 419 | |
Gross value [member] | |||
Disclosure of trade and other receivables [line items] | |||
Non-current trade receivables | 0 | 0 | |
Current trade receivables | 483 | 309 | |
Impairment [member] | |||
Disclosure of trade and other receivables [line items] | |||
Non-current trade receivables | 0 | 0 | |
Current trade receivables | € (2) | € (3) |
Trade Receivables and Other -_2
Trade Receivables and Other - Summary of Contract Assets (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Jan. 01, 2018 |
Disclosure of disaggregation of revenue from contracts with customers [line items] | ||
Non-current | € 28 | € 32 |
Current | 2 | 1 |
Unbilled Tooling Costs [member] | ||
Disclosure of disaggregation of revenue from contracts with customers [line items] | ||
Non-current | 26 | 28 |
Other Cost [member] | ||
Disclosure of disaggregation of revenue from contracts with customers [line items] | ||
Non-current | 2 | 4 |
Current | € 2 | € 1 |
Trade Receivables and Other -_3
Trade Receivables and Other - Summary of Ageing of Total Trade Receivables - Net (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Trade receivables [line items] | ||
Trade receivables-net | € 481 | € 306 |
Current [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 453 | 286 |
Past Due 1 to 30 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 23 | 13 |
Past Due 31 to 60 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 2 | 2 |
Past Due 61 to 90 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | 2 | 3 |
Past Due Greater Than 91 Days [member] | ||
Trade receivables [line items] | ||
Trade receivables-net | € 1 | € 2 |
Trade Receivables and Other - A
Trade Receivables and Other - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2018EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2017EUR (€) | |
Disclosure of trade and other receivables [line items] | |||
Reversal of impairment allowance | € 1,100,000 | € 700,000 | |
Factored assets | 601,000,000 | 642,000,000 | |
Factored assets, derecognized from Consolidated Statement of Financial Position | 446,000,000 | 473,000,000 | |
Factored assets, recognized in Consolidated Statement of Financial Position | 155,000,000 | 169,000,000 | |
Debt due factor | € 0 | 0 | |
Finance lease receivables | € 12,000,000 | ||
Factoring of receivables [member] | Muscle Shoals factoring facility [member] | |||
Disclosure of trade and other receivables [line items] | |||
Factoring maximum capacity | $ | $ 375,000,000 | ||
Trade receivable factoring agreement maturity date | Jan. 24, 2020 | Jan. 24, 2020 | |
France [member] | Factoring of receivables [member] | |||
Disclosure of trade and other receivables [line items] | |||
Factoring maximum capacity | € 235,000,000 | ||
Trade receivable factoring agreement maturity date | Oct. 29, 2021 | Oct. 29, 2021 | |
Germany Switzerland and Czech Republic [member] | Factoring of receivables [member] | |||
Disclosure of trade and other receivables [line items] | |||
Factoring maximum capacity | € 150,000,000 | ||
Trade 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 | ||
Trade receivable factoring agreement maturity date | Dec. 11, 2019 | Dec. 11, 2019 | |
United States [member] | Factoring of receivables amendment [member] | Constellium automotive [member] | |||
Disclosure of trade and other receivables [line items] | |||
Factoring maximum capacity | $ | $ 33,000,000 |
Trade Receivables and Other -_4
Trade Receivables and Other - Summary of Carrying Amounts of Total Trade Receivables - Net by Currency (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Trade receivables [line items] | ||
Total Trade receivables - net | € 481 | € 306 |
Euro [member] | ||
Trade receivables [line items] | ||
Total Trade receivables - net | 177 | 124 |
U.S. Dollar [member] | ||
Trade receivables [line items] | ||
Total Trade receivables - net | 284 | 164 |
Swiss Franc [member] | ||
Trade receivables [line items] | ||
Total Trade receivables - net | 4 | 4 |
Other currencies [member] | ||
Trade receivables [line items] | ||
Total Trade receivables - net | € 16 | € 14 |
Inventories - Disclosure of Inv
Inventories - Disclosure of Inventories (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Classes of current inventories [abstract] | ||
Finished goods | € 165 | € 164 |
Work in progress | 347 | 332 |
Raw materials | 112 | 111 |
Stores and supplies | 67 | 64 |
Inventories write down | (31) | (28) |
Total inventories | € 660 | € 643 |
Property Plant and Equipment -
Property Plant and Equipment - Summary of Property Plant and Equipment (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | € 1,517 | € 1,477 |
Additions | 303 | 282 |
Disposals | (6) | (4) |
Depreciation expense | (184) | (159) |
Transfer during the year | 3 | 8 |
Effects of changes in foreign exchange rates | 33 | (87) |
Net balance, ending | 1,666 | 1,517 |
Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 2,291 | |
Net balance, ending | 2,617 | 2,291 |
Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (774) | |
Net balance, ending | (951) | (774) |
Land and property rights.[member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 14 | 19 |
Additions | 1 | 1 |
Depreciation expense | (4) | (4) |
Transfer during the year | 6 | |
Effects of changes in foreign exchange rates | 1 | (2) |
Net balance, ending | 18 | 14 |
Land and property rights.[member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 25 | |
Net balance, ending | 33 | 25 |
Land and property rights.[member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (11) | |
Net balance, ending | (15) | (11) |
Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 206 | 209 |
Additions | 5 | 2 |
Disposals | (1) | |
Depreciation expense | (13) | (13) |
Transfer during the year | 16 | 18 |
Effects of changes in foreign exchange rates | 3 | (9) |
Net balance, ending | 217 | 206 |
Buildings [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 321 | |
Net balance, ending | 349 | 321 |
Buildings [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (115) | |
Net balance, ending | (132) | (115) |
Machinery and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 1,089 | 1,020 |
Additions | 98 | 50 |
Disposals | (6) | (3) |
Depreciation expense | (161) | (135) |
Transfer during the year | 181 | 223 |
Effects of changes in foreign exchange rates | 26 | (66) |
Net balance, ending | 1,227 | 1,089 |
Machinery and equipment [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 1,712 | |
Net balance, ending | 2,000 | 1,712 |
Machinery and equipment [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (623) | |
Net balance, ending | (773) | (623) |
Construction Work in Progress [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 198 | 221 |
Additions | 195 | 224 |
Transfer during the year | (202) | (237) |
Effects of changes in foreign exchange rates | 3 | (10) |
Net balance, ending | 194 | 198 |
Construction Work in Progress [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 204 | |
Net balance, ending | 200 | 204 |
Construction Work in Progress [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (6) | |
Net balance, ending | (6) | (6) |
Other [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 10 | 8 |
Additions | 4 | 5 |
Depreciation expense | (6) | (7) |
Transfer during the year | 2 | 4 |
Net balance, ending | 10 | 10 |
Other [member] | Gross value [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | 29 | |
Net balance, ending | 35 | 29 |
Other [member] | Accumulated depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Net balance, beginning | (19) | |
Net balance, ending | € (25) | € (19) |
Property Plant and Equipment _2
Property Plant and Equipment - Summary of Amounts Included in Building, Machinery and Equipment Under a Finance Lease (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | € 77 | € 60 |
Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Amounts included in Building/Machinery and Equipment under finance lease net | 24 | 25 |
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 | 53 | 35 |
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 | 110 | 92 |
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 | 31 | 30 |
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 | 79 | 62 |
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 | (33) | (32) |
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 | (7) | (5) |
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 | € (26) | € (27) |
Property Plant and Equipment _3
Property Plant and Equipment - Summary of Future Aggregate Minimum Lease Payments Under Non-cancellable Finance Leases (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of finance lease and operating lease by lessee [line items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | € 86 | € 71 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | 73 | 60 |
Less than 1 year [member] | ||
Disclosure of finance lease and operating lease by lessee [line items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | 20 | 15 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | 17 | 14 |
Expiring within 5 years [member] | ||
Disclosure of finance lease and operating lease by lessee [line items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | 50 | 37 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | 42 | 30 |
More than 5 years [member] | ||
Disclosure of finance lease and operating lease by lessee [line items] | ||
Future aggregate minimum lease payments under non-cancellable finance leases | 16 | 19 |
Present value of future aggregate minimum lease payments under non-cancellable finance leases | € 14 | € 16 |
Property Plant and Equipment _4
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | € (197) | € (171) | € (155) |
Cost of sales [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | (184) | (160) | (147) |
Selling and administrative expenses [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | (9) | (8) | (6) |
Research and development expenses [member] | |||
Disclosure of detailed information about property, plant and equipment [line items] | |||
Depreciation and Amortisation loss | € (4) | € (3) | € (2) |
Intangible Assets (Including _3
Intangible Assets (Including Goodwill) - Disclosure of Changes in Intangible Assets and Goodwill (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Goodwill, beginning balance | € 403 | € 457 |
Effects of changes in foreign exchange rates | 19 | (54) |
Goodwill, ending balance | 422 | 403 |
Intangible assets (excluding goodwill), beginning balance | 68 | 79 |
Intangible assets (excluding goodwill), additions | 11 | 6 |
Intangible assets (excluding goodwill), amortization expense | (13) | (12) |
Intangible assets (excluding goodwill), transfer during the period | 2 | |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | 4 | (7) |
Intangible assets (excluding goodwill), ending balance | 70 | 68 |
Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Goodwill, beginning balance | 403 | |
Goodwill, ending balance | 422 | 403 |
Intangible assets (excluding goodwill), beginning balance | 186 | |
Intangible assets (excluding goodwill), ending balance | 204 | 186 |
Accumulated amortization and impairment [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | (118) | |
Intangible assets (excluding goodwill), ending balance | (134) | (118) |
Technology [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 24 | 28 |
Intangible assets (excluding goodwill), amortization expense | (3) | (1) |
Intangible assets (excluding goodwill), transfer during the period | 1 | |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | 1 | (4) |
Intangible assets (excluding goodwill), ending balance | 22 | 24 |
Technology [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 81 | |
Intangible assets (excluding goodwill), ending balance | 84 | 81 |
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 | (57) | |
Intangible assets (excluding goodwill), ending balance | (62) | (57) |
Computer software [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 18 | 21 |
Intangible assets (excluding goodwill), additions | 2 | |
Intangible assets (excluding goodwill), amortization expense | (8) | (9) |
Intangible assets (excluding goodwill), transfer during the period | 5 | 7 |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | 1 | (1) |
Intangible assets (excluding goodwill), ending balance | 18 | 18 |
Computer software [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 55 | |
Intangible assets (excluding goodwill), ending balance | 65 | 55 |
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 | (37) | |
Intangible assets (excluding goodwill), ending balance | (47) | (37) |
Customer relationships [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 15 | 18 |
Intangible assets (excluding goodwill), amortization expense | (1) | (1) |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | 1 | (2) |
Intangible assets (excluding goodwill), ending balance | 15 | 15 |
Customer relationships [member] | Gross value [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 38 | |
Intangible assets (excluding goodwill), ending balance | 39 | 38 |
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 | (23) | |
Intangible assets (excluding goodwill), ending balance | (24) | (23) |
Work in progress [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 9 | 9 |
Intangible assets (excluding goodwill), additions | 8 | 6 |
Intangible assets (excluding goodwill), transfer during the period | (5) | (6) |
Intangible assets (excluding goodwill), effects of changes in foreign exchange rates | 1 | |
Intangible assets (excluding goodwill), ending balance | 13 | 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 | 13 | 9 |
Other intangible assets [member] | ||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||
Intangible assets (excluding goodwill), beginning balance | 2 | 3 |
Intangible assets (excluding goodwill), additions | 1 | |
Intangible assets (excluding goodwill), amortization expense | (1) | (1) |
Intangible assets (excluding goodwill), ending balance | 2 | 2 |
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), beginning balance | (1) | |
Intangible assets (excluding goodwill), ending balance | € (1) | € (1) |
Intangible Assets (Including _4
Intangible Assets (Including Goodwill) - Additional Information (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Goodwill | € 422 | € 422 | € 403 | € 457 |
P&ARP [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Goodwill | € 415 | 415 | ||
Cash flow projected period | 7 years | |||
Carrying value | € 1,354 | 1,354 | ||
Recoverable value | € 1,716 | € 1,716 | ||
Increase discount rate | 2.25% | |||
Decrease in the perpetual growth | 4.00% | |||
Automotive Body Sheet lower shipments | 45.00% | |||
P&ARP [member] | Bottom of range [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Growth rate, cash flows projections | 0.00% | 0.00% | ||
Discount rate, cash flows projections | 10.00% | 10.00% | ||
P&ARP [member] | Top of range [member] | ||||
Disclosure of reconciliation of changes in intangible assets and goodwill [line items] | ||||
Growth rate, cash flows projections | 1.50% | 1.50% | ||
Discount rate, cash flows projections | 12.00% | 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 Und_3
Investments Accounted for Under Equity Method - Summary of Investments Accounted for Under Equity Method (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share of profit (loss) of associates and joint ventures accounted for using equity method [abstract] | |||
At January 1, | € 1 | € 16 | |
Joint venture's profit / (loss) | (33) | (29) | € (14) |
Additions | 0 | 0 | |
Reclassified to non-current other financial assets | 33 | 14 | |
Effects of changes in foreign exchange rates | 0 | 0 | |
At December 31 | € 1 | € 1 | € 16 |
Investments Accounted for Und_4
Investments Accounted for Under Equity Method - Additional Information (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share of profit (loss) of associates and joint ventures accounted for using equity method [abstract] | |||
Cumulative share of losses of joint-ventures in excess of initial investment | € 49 | ||
Share of losses of joint-ventures in excess of initial investment | € 33 | € 29 | € 14 |
Investments Accounted for Und_5
Investments Accounted for Under Equity Method - Summary of Share of Joint Ventures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of joint ventures [line items] | |||
Group share of joint venture's net assets | € 1 | € 1 | € 16 |
Group share of joint venture's profit / (loss) | € (33) | € (29) | € (14) |
Constellium-Bowling Green [member] | |||
Disclosure of joint ventures [line items] | |||
% interest | 51.00% | 51.00% | |
Group share of joint venture's net assets | € (49) | € (14) | |
Group share of joint venture's profit / (loss) | € (33) | € (29) | |
Rhenaroll S.A. [member] | |||
Disclosure of joint ventures [line items] | |||
% interest | 49.85% | 49.85% | |
Group share of joint venture's net assets | € 1 | € 1 | |
Group share [member] | |||
Disclosure of joint ventures [line items] | |||
Group share of joint venture's net assets | (48) | (13) | |
Group share of joint venture's profit / (loss) | (33) | (29) | |
Reclassified to non-current other financial assets [member] | |||
Disclosure of joint ventures [line items] | |||
Group share of joint venture's net assets | € 49 | € 14 |
Investments Accounted for Und_6
Investments Accounted for Under Equity Method - Summary of Share of Joint Ventures (Parenthetical) (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of joint ventures [line items] | |||
Revenue | € 5,686 | € 5,237 | € 4,743 |
Constellium-Bowling Green [member] | |||
Disclosure of joint ventures [line items] | |||
Ownership percentage | 51.00% | 51.00% | |
Revenue | € 262 | € 123 | |
Rhenaroll S.A. [member] | |||
Disclosure of joint ventures [line items] | |||
Ownership percentage | 49.85% | 49.85% | |
Revenue | € 3 | € 3 |
Investments Accounted for Und_7
Investments Accounted for Under Equity Method - Summary of Amounts Included in Consolidated Financial Statements in Accordance with Group Accounting Principles (Detail) - EUR (€) € in Millions | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Current assets | ||||
Cash and cash equivalents | € 164 | € 269 | € 347 | € 472 |
Trade receivables and other | 587 | 419 | ||
Inventories | 660 | 643 | ||
Other financial assets | 104 | 179 | ||
Non-current assets | ||||
Property, plant and equipment | 1,666 | 1,517 | 1,477 | |
Intangible assets | 70 | 68 | 79 | |
Total Assets | 3,901 | 3,711 | ||
Current liabilities | ||||
Trade payables and other | 968 | 930 | ||
Borrowings | 57 | 106 | ||
Non-current liabilities | ||||
Borrowings | 2,094 | 2,021 | ||
Equity | (114) | (319) | (570) | € (540) |
Total Equity and Liabilities | 3,901 | 3,711 | ||
Revenue | 5,686 | 5,237 | 4,743 | |
Cost of sales | (5,148) | (4,682) | (4,208) | |
Selling and administrative expenses | (247) | (247) | (253) | |
(Loss) / Income from operations | 404 | 338 | 267 | |
Finance costs | (156) | (267) | (193) | |
Net income / (loss) | 190 | (31) | € (4) | |
Constellium-Bowling Green [member] | ||||
Current assets | ||||
Cash and cash equivalents | 8 | 5 | ||
Trade receivables and other | 49 | 35 | ||
Inventories | 68 | 57 | ||
Non-current assets | ||||
Property, plant and equipment | 166 | 161 | ||
Intangible assets | 1 | |||
Total Assets | 291 | 259 | ||
Current liabilities | ||||
Trade payables and other | 79 | 34 | ||
Borrowings | 36 | 206 | ||
Non-current liabilities | ||||
Borrowings | 271 | 47 | ||
Equity | (95) | (28) | ||
Total Equity and Liabilities | 291 | 259 | ||
Revenue | 262 | 123 | ||
Cost of sales | (309) | (151) | ||
Selling and administrative expenses | (10) | (14) | ||
(Loss) / Income from operations | (57) | (42) | ||
Finance costs | (7) | (15) | ||
Net income / (loss) | (64) | (57) | ||
Group Companies and Constellium UACJ ABS LLC [member] | ||||
Current assets | ||||
Trade receivables and other | 38 | 15 | ||
Other financial assets | 69 | 83 | ||
Non-current liabilities | ||||
Revenue | 169 | 59 | ||
Cost of sales | (19) | |||
Fees and recharges | 4 | 3 | ||
Finance income | € 4 | € 6 |
Investments Accounted for Und_8
Investments Accounted for Under Equity Method - Summary of Amounts Included in Consolidated Financial Statements in Accordance with Group Accounting Principles (Parenthetical) (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of investments accounted for using equity method [line items] | ||
Gain related shareholders loan facilities modification | € 11 | |
Share of losses of joint-ventures in excess of initial investment | 49 | |
Group Companies and Constellium UACJ ABS LLC [member] | ||
Disclosure of investments accounted for using equity method [line items] | ||
Loans | 118 | € 97 |
Share of losses of joint-ventures in excess of initial investment | € 49 | € 14 |
Investments Accounted for Und_9
Investments Accounted for Under Equity Method - Summary of Guarantees and Commitments (Detail) - Constellium-Bowling Green [member] - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Financial guarantees [member] | ||
Disclosure of joint ventures [line items] | ||
Total guarantees and commitments given | € 11 | € 11 |
Loan Facility Commitment [member] | ||
Disclosure of joint ventures [line items] | ||
Total guarantees and commitments given | 3 | |
Supplier guarantees [member] | ||
Disclosure of joint ventures [line items] | ||
Total guarantees and commitments given | € 3 | € 3 |
Deferred Income Taxes - Summary
Deferred Income Taxes - Summary of Deferred Income Taxes (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Major components of tax expense (income) [abstract] | ||
Deferred income tax assets | € 163 | € 164 |
Deferred income tax liabilities | (22) | (25) |
Net deferred income tax assets | € 141 | € 139 |
Deferred Income Taxes - Signifi
Deferred Income Taxes - Significant Components of Deferred Tax Assets and Liabilities (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | € 139 | € 222 |
Recognized in Profit or loss | (2) | (54) |
Recognized in OCI | 1 | (20) |
Effect of change in foreign exchange rates | 3 | (9) |
At December 31 | 141 | 139 |
Long-term assets [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | (76) | (90) |
Recognized in Profit or loss | (15) | 5 |
Effect of change in foreign exchange rates | (3) | 9 |
At December 31 | (94) | (76) |
Inventories [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 4 | 6 |
Recognized in Profit or loss | 1 | (2) |
At December 31 | 5 | 4 |
Pensions [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 130 | 188 |
Recognized in Profit or loss | (12) | (39) |
Recognized in OCI | (7) | (5) |
Effect of change in foreign exchange rates | 5 | (14) |
At December 31 | 116 | 130 |
Derivative valuation [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | (20) | 13 |
Recognized in Profit or loss | 22 | (17) |
Recognized in OCI | 8 | (15) |
Effect of change in foreign exchange rates | 2 | (1) |
At December 31 | 12 | (20) |
Tax losses carried forward [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 78 | 79 |
Recognized in Profit or loss | (13) | 3 |
Effect of change in foreign exchange rates | (4) | (4) |
At December 31 | 61 | 78 |
Other [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
At January 1 | 23 | 26 |
Recognized in Profit or loss | 15 | (3) |
Effect of change in foreign exchange rates | 3 | |
At December 31 | € 41 | € 23 |
Deferred Income Taxes - Additio
Deferred Income Taxes - Additional Information (Detail) - EUR (€) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Significant components of deferred tax assets and liabilities [line items] | ||
US tax rate decrease impact in P&L | € (16,000,000) | |
US tax rate decrease impact in OCI | (8,000,000) | |
Unused tax losses for which no deferred tax asset recognized | € 1,257,000,000 | 1,393,000,000 |
Related tax impact | 321,000,000 | € 356,000,000 |
Switzerland [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax loss carried forwards | € 0 |
Deferred Income Taxes - Compone
Deferred Income Taxes - Components of Non Recognized Deferred Tax Assets (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | € 1,257 | € 1,393 |
Total | (321) | (356) |
Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | (153) | (183) |
Long-term assets [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (107) | (116) |
Pensions [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (18) | (20) |
Other temporary differences [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (43) | (37) |
Temporary differences [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Deductible temporary differences | (168) | (173) |
Expiring within 5 years [member] | Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | (45) | (69) |
Expiring after 5 years and limited [member] | Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | (89) | (96) |
Unlimited [member] | Unused tax losses [member] | ||
Significant components of deferred tax assets and liabilities [line items] | ||
Tax losses | € (19) | € (18) |
Trade Payables and Other - Deta
Trade Payables and Other - Detailed Information about Trade and Other Payables (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Trade and other payables [abstract] | |||
Trade payables | € 0 | € 0 | |
Fixed assets payables | 0 | 0 | |
Employees' entitlements | 0 | 0 | |
Taxes payable other than income tax | 0 | 0 | |
Deferred revenue | 34 | ||
Contract liabilities | 9 | € 32 | |
Other payables | 18 | 20 | |
Total Other | 27 | 54 | |
Total Trade payables and other | 27 | 54 | |
Trade payables | 685 | 717 | |
Fixed assets payables | 30 | 27 | |
Employees' entitlements | 160 | 159 | |
Taxes payable other than income tax | 16 | 12 | |
Deferred revenue | 10 | ||
Contract liabilities | 68 | € 51 | |
Other payables | 9 | 5 | |
Total Other | 283 | 213 | |
Total Trade payables and other | € 968 | € 930 |
Trade Payables and Other - De_2
Trade Payables and Other - Detailed information of contract liabilities (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Jan. 01, 2018 |
Disclosure of disaggregation of contract liabilities with customers [line items] | ||
Non-current | € 9 | € 32 |
Current | 68 | 51 |
Deferred Tooling Revenue [member] | ||
Disclosure of disaggregation of contract liabilities with customers [line items] | ||
Non-current | 14 | |
Advance Payment From Customers [member] | ||
Disclosure of disaggregation of contract liabilities with customers [line items] | ||
Non-current | 7 | 18 |
Current | 9 | 9 |
Unrecognized Variable Consideration [member] | ||
Disclosure of disaggregation of contract liabilities with customers [line items] | ||
Non-current | 2 | |
Current | 57 | 41 |
Other [member] | ||
Disclosure of disaggregation of contract liabilities with customers [line items] | ||
Current | € 2 | € 1 |
Trade Payables and Other - Addi
Trade Payables and Other - Additional Information (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2018EUR (€) | |
Receivables from contracts with customers [abstract] | |
Revenue recognized related to contract liabilities | € 55 |
Deferred revenue related to contract liabilities | € 45 |
Borrowings - Summary of Borrowi
Borrowings - Summary of Borrowings (Detail) | 12 Months Ended | |||
Dec. 31, 2018EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2017EUR (€) | Dec. 31, 2016EUR (€) | |
Disclosure of detailed information about borrowings [line items] | ||||
Nominal value | € 2,148,000,000 | |||
Arrangement fees | (32,000,000) | |||
Accrued interest | 35,000,000 | |||
Borrowings | 2,151,000,000 | € 2,127,000,000 | € 2,468,000,000 | |
Non-current | 2,094,000,000 | 2,021,000,000 | ||
Current | € 57,000,000 | 106,000,000 | ||
Constellium N.V. senior unsecured notes (Issued May 2014, due 2024) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | 5.75% | |||
Effective rate | 6.26% | 6.26% | ||
Nominal value | € 349,000,000 | $ 400,000,000 | ||
Arrangement fees | (4,000,000) | |||
Accrued interest | 3,000,000 | |||
Borrowings | € 348,000,000 | 332,000,000 | ||
Constellium N.V. senior unsecured notes (Issued May 2014, due 2021) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | 4.63% | |||
Effective rate | 5.16% | 5.16% | ||
Nominal value | € 300,000,000 | |||
Arrangement fees | (2,000,000) | |||
Accrued interest | 2,000,000 | |||
Borrowings | € 300,000,000 | 298,000,000 | ||
Constellium N.V. Senior Unsecured Notes (Issued February 2017, due 2025) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | 6.63% | |||
Effective rate | 7.13% | 7.13% | ||
Nominal value | € 568,000,000 | $ 650,000,000 | ||
Arrangement fees | (12,000,000) | |||
Accrued interest | 12,000,000 | |||
Borrowings | € 568,000,000 | 541,000,000 | ||
Constellium N.V. USD Senior Unsecured Notes (Issued November 2017, due 2026) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | 5.88% | |||
Effective rate | 6.26% | 6.26% | ||
Nominal value | € 437,000,000 | $ 500,000,000 | ||
Arrangement fees | (7,000,000) | |||
Accrued interest | 10,000,000 | |||
Borrowings | € 440,000,000 | 413,000,000 | ||
Constellium N.V. EURO Senior Unsecured Notes (Issued November 2017, due 2026) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | 4.25% | |||
Effective rate | 4.57% | 4.57% | ||
Nominal value | € 400,000,000 | |||
Arrangement fees | (7,000,000) | |||
Accrued interest | 6,000,000 | |||
Borrowings | 399,000,000 | 395,000,000 | ||
Other loans [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal value | 94,000,000 | |||
Accrued interest | 2,000,000 | |||
Borrowings | € 96,000,000 | 83,000,000 | ||
Pan US ABL facility (due 2022) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | Floating | |||
Effective rate | 4.51% | 4.51% | ||
Borrowings | € 65,000,000 | |||
Secured inventory based facility (due 2019) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | Floating | |||
Unsecured revolving credit facilities (due 2021) [member] | ||||
Disclosure of detailed information about borrowings [line items] | ||||
Nominal rate | Floating |
Borrowings - Summary of Borro_2
Borrowings - Summary of Borrowings (Parenthetical) (Detail) € in Millions | Mar. 28, 2018EUR (€) |
BPI unsecured revolving credit facilities [member] | |
Disclosure of detailed information about borrowings [line items] | |
Borrowing capacity | € 10 |
Borrowings - Summary of Reconci
Borrowings - Summary of Reconciliation of Movement in Net Borrowings Explanatory (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of detailed information about borrowings [abstract] | |||
Beginning Balance | € 2,127 | € 2,468 | |
Proceeds from issuance of Senior Notes | 1,440 | € 375 | |
(Repayments) of Senior Notes | (1,559) | (148) | |
(Repayments) / Proceeds from US Revolving Credit Facilities and other loans | (68) | 29 | |
Arrangement fees payment | (29) | ||
Finance lease repayment and others | (15) | (13) | |
Movement in interests accrued or capitalized | 12 | (13) | |
New finance leases | 28 | 17 | |
Deferred arrangement fees, step-up amortization and other | 2 | 7 | |
Effects of changes in foreign exchange rates | 65 | (220) | |
Ending Balance | € 2,151 | € 2,127 | € 2,468 |
Borrowings - Summary of Recon_2
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 (€) |
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 |
Borrowings - Summary of Composi
Borrowings - Summary of Composition of Carrying Amounts of Total Borrowings (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | € 2,151 | € 2,127 | € 2,468 |
U.S. Dollar [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | 1,408 | 1,387 | |
Euro [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | 726 | 720 | |
Other currencies [member] | |||
Disclosure of detailed information about borrowings [line items] | |||
Total borrowings | € 17 | € 20 |
Borrowings - Additional Informa
Borrowings - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | € 164 | € 269 | € 347 | € 472 |
Trade receivables | 481 | 306 | ||
Finance lease receivables | 12 | |||
Other financial assets | 104 | 179 | ||
Total financial assets | 749 | 766 | ||
Trade payables and fixed assets payables | 715 | 744 | ||
Borrowings | 2,151 | 2,127 | € 2,468 | |
Other financial liabilities | 89 | 66 | ||
Total financial liabilities | 2,955 | 2,937 | ||
At amortized cost [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Trade payables and fixed assets payables | 715 | 744 | ||
Borrowings | 2,151 | 2,127 | ||
Total financial liabilities | 2,866 | 2,871 | ||
At fair value through Profit and loss [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Other financial liabilities | 79 | 66 | ||
Total financial liabilities | 79 | 66 | ||
At fair value through OCI [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Other financial liabilities | 10 | |||
Total financial liabilities | 10 | |||
At amortized cost [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | 164 | |||
Other financial assets | 74 | |||
Total financial assets | 238 | |||
At fair value through Profit and loss [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Other financial assets | 30 | 77 | ||
Total financial assets | 30 | 77 | ||
At fair value through OCI [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Trade receivables | 481 | |||
Other financial assets | 19 | |||
Total financial assets | € 481 | 19 | ||
Loans and receivables [member] | ||||
Disclosure of detailed information about financial instruments [line items] | ||||
Cash and cash equivalents | 269 | |||
Trade receivables | 306 | |||
Finance lease receivables | 12 | |||
Other financial assets | 83 | |||
Total financial assets | € 670 |
Financial Instruments - Summa_2
Financial Instruments - Summary of Other Financial Assets and Other Financial Liabilities Positions (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | € 7 | € 29 |
Current derivative financial assets | 23 | 67 |
Derivatives assets | 30 | 96 |
Non-current loans | 67 | 81 |
Current loans | 2 | 2 |
Loans | 69 | 83 |
Other non-current financial assets | 74 | 110 |
Other current financial assets | 30 | 69 |
Other financial assets | 104 | 179 |
Other non-current financial liabilities | 29 | 43 |
Other current financial liabilities | 60 | 23 |
Other financial liabilities | 89 | 66 |
Non-current derivative financial liabilities | 29 | 43 |
Current derivative financial liabilities | 60 | 23 |
Derivatives Liabilities | 89 | 66 |
Aluminium and premium future contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | 2 | 6 |
Current derivative financial assets | 7 | 39 |
Derivatives assets | 9 | 45 |
Non-current derivative financial liabilities | 6 | |
Current derivative financial liabilities | 38 | 6 |
Derivatives Liabilities | 44 | 6 |
Other future contract [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Current derivative financial assets | 1 | |
Derivatives assets | 1 | |
Non-current derivative financial liabilities | 5 | |
Current derivative financial liabilities | 3 | 1 |
Derivatives Liabilities | 8 | 1 |
Currency commercial contracts [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | 3 | 21 |
Current derivative financial assets | 12 | 20 |
Derivatives assets | 15 | 41 |
Non-current derivative financial liabilities | 7 | 6 |
Current derivative financial liabilities | 12 | 12 |
Derivatives Liabilities | 19 | 18 |
Currency net debt derivatives [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Non-current derivative financial assets | 2 | 2 |
Current derivative financial assets | 4 | 7 |
Derivatives assets | 6 | 9 |
Non-current derivative financial liabilities | 11 | 37 |
Current derivative financial liabilities | 3 | 4 |
Derivatives Liabilities | 14 | € 41 |
Margin call [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Current derivative financial assets | 5 | |
Derivatives assets | 5 | |
Net investment hedge [member] | ||
Disclosure of detailed information about financial instruments [line items] | ||
Current derivative financial liabilities | 4 | |
Derivatives Liabilities | € 4 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) - Fair value [member] € in Millions | Dec. 31, 2018EUR (€) |
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 | 97.00% |
Senior Notes issued | € 627 |
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 | 94.00% |
Senior Notes issued | € 533 |
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 | 91.00% |
Senior Notes issued | € 760 |
Financial Instruments - Summa_3
Financial Instruments - Summary of Derivatives Measured at Fair Value (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of financial instruments measured at fair value [line items] | ||
Other financial assets-derivatives | € 30 | € 96 |
Other financial liabilities-derivatives | 89 | 66 |
Level 1 of fair value hierarchy [member] | ||
Disclosure of financial instruments measured at fair value [line items] | ||
Other financial assets-derivatives | 9 | 46 |
Other financial liabilities-derivatives | 50 | 6 |
Level 2 of fair value hierarchy [member] | ||
Disclosure of financial instruments measured at fair value [line items] | ||
Other financial assets-derivatives | 21 | 50 |
Other financial liabilities-derivatives | € 39 | € 60 |
Financial Risk Management - Sum
Financial Risk Management - Summary of Nominal Value of Currency Derivatives (Detail) - Currency risk [member] EUR_ in Millions | Dec. 31, 2018EUR_ |
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 | 2019-2024 |
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 | 2019-2023 |
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 | 2019-2020 |
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 | 2019-2024 |
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 | 2019-2024 |
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 | 2019-2020 |
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 | 2019 |
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 | 519 |
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 | 64 |
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 | 17 |
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 | 543 |
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 | 118 |
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 | 76 |
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 | 4 |
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 | 276 |
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 | 14 |
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 | 1 |
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 | 93 |
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 | 62 |
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 | 61 |
Financial Risk Management - Add
Financial Risk Management - Additional Information (Detail) € in Millions, SFr in Millions, $ in Millions | 12 Months Ended | |||||||
Dec. 31, 2018EUR (€) | Dec. 31, 2018USD ($) | Dec. 31, 2018USD ($) | Jun. 30, 2018CHF (SFr) | Dec. 31, 2017EUR (€) | Dec. 31, 2017USD ($) | Dec. 31, 2016EUR (€) | Dec. 31, 2015EUR (€) | |
Disclosure of liquidity risk [line items] | ||||||||
Percentage of trade account receivables insured | 88.00% | 88.00% | ||||||
Liquidity value | € 669 | |||||||
Cash and cash equivalents | 164 | € 269 | € 347 | € 472 | ||||
Undrawn facilities | 505 | |||||||
Revolving credit facilities outstanding | 335 | |||||||
Forward contract [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Total nominal amount forward contracts | SFr | SFr 174 | |||||||
Unrealized gain / loss of the net investment hedge | (4) | |||||||
Derivative classified as cash flow hedge [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Nominal amount hedging instrument | $ | $ 369 | $ 484 | ||||||
Forward purchase contracts versus EURO [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Net position hedges related to loans and deposits | $ | $ 170 | |||||||
Forward purchase contracts [member] | Cross currency swaps [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Net position hedges related to loans and deposits | $ | 620 | |||||||
Forward sale contracts [member] | Foreign exchange forward contracts [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Net position hedges related to loans and deposits | $ | 235 | |||||||
Forward sale contracts [member] | Cross currency swaps [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Net position hedges related to loans and deposits | $ | $ 215 | |||||||
Pan US ABL facility (due 2022) [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Borrowing base | $ | $ 300 | |||||||
French inventory facility [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Borrowing base | 80 | |||||||
Commodity price risk [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Margin requirement for aluminum and other commodity hedges | 5 | |||||||
10% increase or decrease in the market price [member] | Aluminium [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Impact of increase or decrease in market price in gain or loss from derivatives | € 37 | |||||||
Top of range [member] | Derivative classified as cash flow hedge [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Maturity period | 2022 | 2022 | ||||||
Top of range [member] | 50 basis point increase or decrease in the LIBOR or EURIBOR interest rates [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Impact of increase or decrease in interest rate in income before income tax | € 1 | |||||||
Bottom of range [member] | Derivative classified as cash flow hedge [member] | ||||||||
Disclosure of liquidity risk [line items] | ||||||||
Maturity period | 2019 | 2019 |
Financial Risk Management - S_2
Financial Risk Management - Summary of Effect of Foreign Currency Derivatives Impacts and Commercial Transactions Exposures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gains / (losses) on foreign currency derivatives - net | € 11 | € (15) | € (46) |
Included in Unrealized (losses) / gains on foreign currency derivatives - net | (3) | 17 | 40 |
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 gains / (losses) on foreign currency derivatives - net | 9 | (19) | (46) |
Included in Unrealized (losses) / gains on foreign currency derivatives - net | (1) | 16 | 40 |
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 gains / (losses) on foreign currency derivatives - net | (2) | 3 | |
Realized gains / (losses) in ineffective portion of derivatives | 0 | 0 | 0 |
Derivatives that qualify for hedge accounting [member] | Revenue [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gains / (losses) on foreign currency derivatives - net | 4 | 1 | |
Included in Unrealized (losses) / gains on foreign currency derivatives - net | (2) | 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] | |||
Included in Unrealized (losses) / gains on foreign currency derivatives - net | (23) | 48 | € (27) |
(Losses) reclassified from cash flow hedge reserve to Consolidated Income Statement | € (2) | € (2) |
Financial Risk Management - S_3
Financial Risk Management - Summary of Effect of Foreign Currency Derivatives Impacts and Financing Transaction Exposures (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gains / (losses) on foreign currency derivatives-net | € 11 | € (15) | € (46) |
Unrealized gains / (losses) on foreign currency derivatives-net | (3) | 17 | 40 |
Total | 28 | (79) | 45 |
Currency risk [member] | Finance costs [member] | |||
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gains / (losses) on foreign currency derivatives-net | 5 | 31 | 15 |
Unrealized gains / (losses) on foreign currency derivatives-net | 23 | (110) | 30 |
Total | € 28 | € (79) | € 45 |
Financial Risk Management - S_4
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, 2018EUR (€) | |
10% strengthening US Dollar/Euro [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | € 22 |
Effect on pretax equity | (34) |
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 | 22 |
Effect on pretax equity | (34) |
Derivatives on commercial transaction [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on pretax equity | (34) |
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 | 18 |
Effect on pretax equity | (34) |
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 | 133 |
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 | (150) |
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 | € 17 |
Financial Risk Management - S_5
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, 2018EUR (€) | |
Derivatives on commercial transaction [member] | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on pretax equity | € (34) |
Financial Risk Management - S_6
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, 2018EUR (€) | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |
Effect on profit before tax | € (5) |
Effect on pretax equity | € 7 |
Financial Risk Management - S_7
Financial Risk Management - Summary of Nominal Value of Commodity Derivatives (Detail) - Commodity price risk [member] € in Millions | 12 Months Ended |
Dec. 31, 2018EUR (€) | |
Aluminium [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity period | 2019-2023 |
Premiums [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity period | 2019-2021 |
Copper [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity period | 2019-2021 |
Silver [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity period | 2019-2020 |
Zinc [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity period | 2019-2021 |
Natural gas [member] | |
Disclosure of information about terms and conditions of hedging instruments and how they affect future cash flows [line items] | |
Maturity period | 2019-2020 |
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 | € 392 |
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 | 10 |
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 | 5 |
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 | 9 |
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 | 8 |
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 |
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 | 48 |
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 | 4 |
Over 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 | 5 |
Over 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 | 17 |
Over 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 | € 2 |
Financial Risk Management - S_8
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of nature and extent of risks arising from financial instruments [line items] | |||
Realized gain / (loss) on commodity derivatives-net | € 7 | € 16 | € (16) |
Unrealized (loss) / gain on commodity derivatives-net | € (83) | € 41 | € 31 |
Financial Risk Management - S_9
Financial Risk Management - Summary of Exposure to Financial Counterparties by Rating Type (Detail) € in Millions | Dec. 31, 2018EUR (€)Counterparty | Dec. 31, 2017EUR (€)Counterparty |
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 12 | 18 |
Exposure | € | € 136 | € 295 |
Rated Aa or better [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 2 | 3 |
Exposure | € | € 22 | € 52 |
Rated A [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 8 | 12 |
Exposure | € | € 110 | € 224 |
Rated Baa [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Number of financial counterparties | Counterparty | 2 | 3 |
Exposure | € | € 4 | € 19 |
Financial Risk Management - _10
Financial Risk Management - Summary of Exposure to Financial Counterparties by Rating Type (Parenthetical) (Detail) - EUR (€) € in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of nature and extent of risks arising from financial instruments [abstract] | ||
Credit exposure threshold amount | € 250 | € 250 |
Financial Risk Management - _11
Financial Risk Management - Summary of Undiscounted Contractual Financial Assets and Financial Liabilities Values by Relevant Maturity Groupings (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Less than 1 year [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | € 27 | € 65 |
Financial liabilities | 1,079 | 1,110 |
Less than 1 year [member] | Borrowings [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 6 | 67 |
Less than 1 year [member] | Interests [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 114 | 103 |
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 | 3 |
Less than 1 year [member] | Net cash flows from derivative liabilities related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 56 | 17 |
Less than 1 year [member] | Trade payables and other (excluding deferred revenue and contract liabilities) [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 900 | 920 |
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 | 5 | 6 |
Less than 1 year [member] | Net cash flows from derivatives assets related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 22 | 59 |
Expiring within 5 years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 24 | 18 |
Financial liabilities | 794 | 780 |
Expiring within 5 years [member] | Borrowings [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 315 | 318 |
Expiring within 5 years [member] | Interests [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 422 | 421 |
Expiring within 5 years [member] | Net debt derivative liabilities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 4 | 10 |
Expiring within 5 years [member] | Net cash flows from derivative liabilities related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 35 | 11 |
Expiring within 5 years [member] | Trade payables and other (excluding deferred revenue and contract liabilities) [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 18 | 20 |
Expiring within 5 years [member] | Net debt derivative assets [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 12 | 3 |
Expiring within 5 years [member] | Net cash flows from derivatives assets related to currencies and commodities [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial assets | 12 | 15 |
More than 5 years [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 1,927 | 1,956 |
More than 5 years [member] | Borrowings [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | 1,754 | 1,692 |
More than 5 years [member] | Interests [member] | ||
Disclosure of nature and extent of risks arising from financial instruments [line items] | ||
Financial liabilities | € 173 | € 264 |
Pensions and Other Post-emplo_3
Pensions and Other Post-employment Benefit Obligations - Additional Information (Detail) - EUR (€) € in Millions | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of defined benefit plans [line items] | ||||
Gain from negative past service cost | € 36 | |||
Weighted-average maturity of defined benefit obligations | 13 years 3 months 18 days | 14 years | ||
Pensions [member] | ||||
Disclosure of defined benefit plans [line items] | ||||
Expected contributions to pension and other benefits | € 26 | |||
Other benefits [member] | ||||
Disclosure of defined benefit plans [line items] | ||||
Expected contributions to pension and other benefits | € 19 | |||
Actuarial assumption of discount rates [member] | ||||
Disclosure of defined benefit plans [line items] | ||||
Increase in actuarial assumption | 0.50% | |||
Decrease in actuarial assumption | 0.50% |
Pensions and Other Post-emplo_4
Pensions and Other Post-employment Benefit Obligations - Summary of Sensitivity Analysis on Defined Benefit Obligations (Detail) - Actuarial assumption of discount rates [member] € in Millions | Dec. 31, 2018EUR (€) |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | € (62) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | 69 |
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 | (8) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | 9 |
Switzerland [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | (19) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | 22 |
United States [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Total sensitivity on Defined Benefit Obligations, increase in discount rates | (26) |
Total sensitivity on Defined Benefit Obligations, decrease in discount rates | € 28 |
Pensions and Other Post-emplo_5
Pensions and Other Post-employment Benefit Obligations - Summary of Actuarial Assumptions (Detail) | Dec. 31, 2018 | Dec. 31, 2017 |
Switzerland [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 1.50% | 1.50% |
Discount rate | 0.80% | 0.65% |
United States [member] | Hourly pension [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 2.20% | 2.20% |
United States [member] | Salaried pension [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 3.80% | 3.80% |
Discount rate | 4.45% | 3.80% |
United States [member] | Other post employment benefit [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 3.80% | 3.80% |
United States [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 3.80% | 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 | 1.65% | 1.50% |
France [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 1.35% | 1.20% |
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 | 1.70% | 1.60% |
Bottom of range [member] | United States [member] | Hourly pension [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 4.40% | 3.70% |
Bottom of range [member] | United States [member] | Other post employment benefit [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 4.40% | 3.70% |
Bottom of range [member] | United States [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 4.25% | 3.60% |
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 | 4.45% | 3.75% |
Top of range [member] | United States [member] | Other post employment benefit [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 4.55% | 3.85% |
Top of range [member] | United States [member] | Other benefits [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Discount rate | 4.40% | 3.70% |
Top of range [member] | France [member] | ||
Disclosure of sensitivity analysis for actuarial assumptions [line items] | ||
Rate of increase in salaries | 2.50% | 1.75% |
Pensions and Other Post-emplo_6
Pensions and Other Post-employment Benefit Obligations - Summary of Actuarial Assumptions (Parenthetical) (Detail) | Dec. 31, 2018 |
2019 [member] | Pre 65 [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Medical trend rate | 6.70% |
2019 [member] | Post 65 [member] | |
Disclosure of sensitivity analysis for actuarial assumptions [line items] | |
Medical trend rate | 5.80% |
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-emplo_7
Pensions and Other Post-employment Benefit Obligations - Summary of Amounts Recognized in the Consolidated Statement of Financial Position (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of net defined benefit liability (asset) [line items] | ||
Present value of funded obligation | € 674 | € 691 |
Fair value of plan assets | (380) | (387) |
Deficit of funded plans | 294 | 304 |
Present value of unfunded obligation | 316 | 360 |
Net liability arising from defined benefit obligation | 610 | 664 |
Pension benefits [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Present value of funded obligation | 674 | 691 |
Fair value of plan assets | (380) | (387) |
Deficit of funded plans | 294 | 304 |
Present value of unfunded obligation | 115 | 110 |
Net liability arising from defined benefit obligation | 409 | 414 |
Other benefits [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Present value of unfunded obligation | 201 | 250 |
Net liability arising from defined benefit obligation | € 201 | € 250 |
Pensions and Other Post-emplo_8
Pensions and Other Post-employment Benefit Obligations - Details of Movement in Net Defined Benefit Obligations (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of net defined benefit liability (asset) [line items] | ||
Beginning balance | € 664 | € 735 |
Closing balance | 610 | 664 |
Consolidated Income Statement [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Current service cost | 24 | 24 |
Interest cost / (income) | 15 | 17 |
Past service cost | (36) | (20) |
Immediate recognition of gains / (losses) arising over the year | 0 | 0 |
Administration expenses | 2 | 3 |
Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
-actual return less interest on plan assets | 26 | (36) |
-changes in financial assumptions | (45) | 37 |
-changes in demographic assumptions | (6) | (1) |
-experience losses | (3) | |
Effects of changes in foreign exchange rates | 15 | (48) |
Consolidated Statement of Cash Flows [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Benefits paid | (23) | (23) |
Contributions by the Group | (23) | (24) |
Defined benefit obligations [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Beginning balance | 1,051 | 1,126 |
Closing balance | 990 | 1,051 |
Defined benefit obligations [member] | Consolidated Income Statement [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Current service cost | 24 | 24 |
Interest cost / (income) | 24 | 27 |
Past service cost | (36) | (20) |
Immediate recognition of gains / (losses) arising over the year | 0 | 0 |
Defined benefit obligations [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
-changes in financial assumptions | (45) | 37 |
-changes in demographic assumptions | (6) | (1) |
-experience losses | (3) | |
Effects of changes in foreign exchange rates | 31 | (90) |
Defined benefit obligations [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Benefits paid | (54) | (56) |
Contributions by the plan participants | 4 | 4 |
Defined benefit obligations [member] | Pension benefits [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Beginning balance | 801 | 853 |
Closing balance | 789 | 801 |
Defined benefit obligations [member] | Pension benefits [member] | Consolidated Income Statement [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Current service cost | 18 | 18 |
Interest cost / (income) | 16 | 18 |
Past service cost | (16) | |
Immediate recognition of gains / (losses) arising over the year | 0 | 0 |
Defined benefit obligations [member] | Pension benefits [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
-changes in financial assumptions | (30) | 23 |
-changes in demographic assumptions | (5) | |
-experience losses | (1) | |
Effects of changes in foreign exchange rates | 22 | (61) |
Defined benefit obligations [member] | Pension benefits [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Benefits paid | (35) | (38) |
Contributions by the plan participants | 3 | 4 |
Defined benefit obligations [member] | Other benefits [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Beginning balance | 250 | 273 |
Closing balance | 201 | 250 |
Defined benefit obligations [member] | Other benefits [member] | Consolidated Income Statement [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Current service cost | 6 | 6 |
Interest cost / (income) | 8 | 9 |
Past service cost | (36) | (4) |
Immediate recognition of gains / (losses) arising over the year | 0 | 0 |
Defined benefit obligations [member] | Other benefits [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
-changes in financial assumptions | (15) | 14 |
-changes in demographic assumptions | (1) | (1) |
-experience losses | (2) | |
Effects of changes in foreign exchange rates | 9 | (29) |
Defined benefit obligations [member] | Other benefits [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Benefits paid | (19) | (18) |
Contributions by the plan participants | 1 | |
Plan Assets [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Beginning balance | (387) | (391) |
Closing balance | (380) | (387) |
Plan Assets [member] | Consolidated Income Statement [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Interest cost / (income) | (9) | (10) |
Immediate recognition of gains / (losses) arising over the year | 0 | 0 |
Administration expenses | 2 | 3 |
Plan Assets [member] | Statement of Comprehensive Income (Loss) [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
-actual return less interest on plan assets | 26 | (36) |
Effects of changes in foreign exchange rates | (16) | 42 |
Plan Assets [member] | Consolidated Statement of Cash Flows [member] | ||
Disclosure of net defined benefit liability (asset) [line items] | ||
Benefits paid | 31 | 33 |
Contributions by the Group | (23) | (24) |
Contributions by the plan participants | € (4) | € (4) |
Pensions and Other Post-emplo_9
Pensions and Other Post-employment Benefit Obligations - Details of Net Defined Benefit Obligations by Country (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | € 990 | € 1,051 | |
Plan assets | (380) | (387) | |
Net defined benefit liability | 610 | 664 | € 735 |
France [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 151 | 148 | |
Plan assets | (3) | (3) | |
Net defined benefit liability | 148 | 145 | |
Germany [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 136 | 142 | |
Plan assets | (1) | (1) | |
Net defined benefit liability | 135 | 141 | |
Switzerland [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 251 | 251 | |
Plan assets | (178) | (177) | |
Net defined benefit liability | 73 | 74 | |
United States [member] | |||
Disclosure of net defined benefit liability (asset) [line items] | |||
Defined benefit obligations | 451 | 509 | |
Plan assets | (198) | (206) | |
Net defined benefit liability | 253 | 303 | |
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-empl_10
Pensions and Other Post-employment Benefit Obligations - Details of Plan Asset Categories (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of changes in financial position [line items] | ||
Cash & cash equivalents | € 6 | € 3 |
Equities | 135 | 160 |
Bonds | 181 | 174 |
Property | 43 | 37 |
Other | 15 | 13 |
Total fair value of plan assets | 380 | 387 |
Plan asset categories quoted in an active market [member] | ||
Disclosure of changes in financial position [line items] | ||
Cash & cash equivalents | 6 | 3 |
Equities | 95 | 109 |
Bonds | 71 | 68 |
Property | 10 | 8 |
Other | 5 | 5 |
Total fair value of plan assets | 187 | 193 |
Plan asset categories unquoted in an active market [member] | ||
Disclosure of changes in financial position [line items] | ||
Equities | 40 | 51 |
Bonds | 110 | 106 |
Property | 33 | 29 |
Other | 10 | 8 |
Total fair value of plan assets | € 193 | € 194 |
Pensions and Other Post-empl_11
Pensions and Other Post-employment Benefit Obligations - Summary of Benefit Payments Expected Paid Either by Pension Funds or Directly to Beneficiaries (Detail) € in Millions | 12 Months Ended |
Dec. 31, 2018EUR (€) | |
Statement of financial position [abstract] | |
2019 | € 53 |
2020 | 49 |
2021 | 52 |
2022 | 54 |
2023 | 56 |
2024 to 2028 | € 290 |
Provisions - Summary of Changes
Provisions - Summary of Changes in Provisions (Detail) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of other provisions [line items] | ||
Beginning balance | € 153 | € 149 |
Transfer from provision to contract liability | (23) | |
Allowance | 19 | 25 |
Amounts used | (8) | (7) |
Unused amounts reversed | (7) | (5) |
Unwinding of discounts | (1) | (1) |
Effects of changes in foreign exchange rates | 3 | (8) |
Transfer | 4 | |
Ending balance | 140 | 153 |
Current | 46 | 40 |
Non-Current | 94 | 113 |
Close down and environmental remediation costs [member] | ||
Disclosure of other provisions [line items] | ||
Beginning balance | 81 | 88 |
Allowance | 3 | 3 |
Amounts used | (2) | (2) |
Unwinding of discounts | (1) | (1) |
Effects of changes in foreign exchange rates | 2 | (7) |
Ending balance | 83 | 81 |
Current | 5 | 4 |
Non-Current | 78 | 77 |
Restructuring costs [member] | ||
Disclosure of other provisions [line items] | ||
Beginning balance | 5 | 5 |
Allowance | 1 | 3 |
Amounts used | (2) | (2) |
Unused amounts reversed | (1) | (1) |
Ending balance | 3 | 5 |
Current | 1 | 3 |
Non-Current | 2 | 2 |
Legal claims and other costs [member] | ||
Disclosure of other provisions [line items] | ||
Beginning balance | 67 | 56 |
Transfer from provision to contract liability | (23) | |
Allowance | 15 | 19 |
Amounts used | (4) | (3) |
Unused amounts reversed | (6) | (4) |
Effects of changes in foreign exchange rates | 1 | (1) |
Transfer | 4 | |
Ending balance | 54 | 67 |
Current | 40 | 33 |
Non-Current | € 14 | € 34 |
Provisions - Additional Informa
Provisions - Additional Information (Detail) - Close down and environmental remediation costs [member] € in Millions | 12 Months Ended |
Dec. 31, 2018EUR (€) | |
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) - Legal claims and other costs [member] - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of other provisions [line items] | ||
Maintenance and customer related provisions | € 6 | € 25 |
Litigation | 41 | 36 |
Disease claims | 4 | 3 |
Other | 3 | 3 |
Total provisions | € 54 | € 67 |
Provisions - Summary of Legal_2
Provisions - Summary of Legal Claims and Other Costs (Parenthetical) (Detail) € in Millions | 12 Months Ended | ||
Dec. 31, 2018EUR (€)Claim | Dec. 31, 2017EUR (€)Claim | Jan. 01, 2018EUR (€) | |
Disclosure of other provisions [line items] | |||
Reclassification of contract liabilities | € 23 | ||
Disease claims [member] | |||
Disclosure of other provisions [line items] | |||
Number of cases outstanding for disease claims | Claim | 6 | 7 | |
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 |
Non Cash Investing & Financin_2
Non Cash Investing & Financing Transactions - Additional Information (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure Of Non Cash Investing And Financing Transactions [abstract] | |||
Property, plant and equipment acquired by finance lease | € 28 | € 17 | € 16 |
Fair value of PSU and RSUs vested | € 8 | € 1 | € 4 |
Share Capital - Additional Info
Share Capital - Additional Information (Detail) | Dec. 31, 2018EUR (€)€ / 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) - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of classes of share capital [line items] | ||
Beginning balance | 134,510,623 | |
New shares issued | 1,488,771 | |
Ending balance | 135,999,394 | 134,510,623 |
Beginning balance | € (319) | € (570) |
New shares issued | 259 | |
Ending balance | (114) | (319) |
Share capital [member] | ||
Disclosure of classes of share capital [line items] | ||
Beginning balance | 3 | 2 |
New shares issued | 0 | 1 |
Ending balance | 3 | 3 |
Share premium [member] | ||
Disclosure of classes of share capital [line items] | ||
Beginning balance | 420 | 162 |
New shares issued | 0 | 258 |
Ending balance | € 420 | € 420 |
Share Capital - Schedule of S_2
Share Capital - Schedule of Share Capital (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2018shares | |
Disclosure of classes of share capital [line items] | |
Share issued | 1,488,771 |
Common shares [member] | Employees [member] | |
Disclosure of classes of share capital [line items] | |
Share issued | 1,488,771 |
Ordinary shares [member] | |
Disclosure of classes of share capital [line items] | |
Treasury shares held | 38,597 |
Commitments - Additional Inform
Commitments - Additional Information (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of operating lease [abstract] | |||
Rent expense | € 31 | € 27 | € 27 |
Commitments - Non Cancellable O
Commitments - Non Cancellable Operating Leases Commitments (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | € 133 | € 108 |
Less than 1 year [member] | ||
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | 24 | 19 |
Expiring within 5 years [member] | ||
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | 63 | 49 |
More than 5 years [member] | ||
Disclosure of non-cancellable operating leases commitments [line items] | ||
Minimum lease payments | € 46 | € 40 |
Commitments - Capital Expenditu
Commitments - Capital Expenditures Commitments (Detail) - EUR (€) € in Millions | Dec. 31, 2018 | Dec. 31, 2017 |
Disclosure of capital expenditures commitments [line items] | ||
Capital expenditure commitments | € 124 | € 101 |
Computer software [member] | ||
Disclosure of capital expenditures commitments [line items] | ||
Capital expenditure commitments | 1 | 2 |
Property, plant and equipment [member] | ||
Disclosure of capital expenditures commitments [line items] | ||
Capital expenditure commitments | € 123 | € 99 |
Related Parties - Additional In
Related Parties - Additional Information (Detail) € in Millions | Mar. 28, 2018EUR (€) |
BPI unsecured revolving credit facilities [member] | |
Disclosure of detailed information about borrowings [line items] | |
Borrowing capacity | € 10 |
Related Parties - Summary of Ke
Related Parties - Summary of Key Management Personnel Compensation (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of transactions between related parties [abstract] | |||
Short term employee benefits | € 9 | € 8 | € 10 |
Directors' fees | 1 | 1 | 1 |
Share-based compensation | 6 | 4 | 2 |
Post-employments benefits | 0 | 0 | 0 |
Termination benefits | 1 | 1 | |
Employer social contribution | 1 | 1 | 2 |
Total | € 17 | € 15 | € 16 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) € in Millions | 1 Months Ended | 12 Months Ended | ||
Nov. 30, 2018shares | Dec. 31, 2018EUR (€)shares | Dec. 31, 2017EUR (€)shares | Dec. 31, 2016EUR (€)shares | |
Share Based Payment Plans [line items] | ||||
Total expense related to the potential ordinary shares | € | € 12 | € 8 | € 6 | |
Restricted Stock Units [member] | ||||
Share Based Payment Plans [line items] | ||||
Number of shares granted | 150,000 | |||
Vesting period on the grant date | 3 years | |||
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 and 75,000 in 2018 on the second anniversary. | |||
Number of RSU vested | 75,000 | 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. | |||
Performance share units (PSUs) [member] | ||||
Share Based Payment Plans [line items] | ||||
Share based compensation, vesting period | 3 years | |||
Percentage of vesting multiplier | 100.00% | |||
PSUs granted in 2015 and 2016 [member] | Bottom of range [member] | ||||
Share Based Payment Plans [line items] | ||||
Percentage of vesting multiplier | 0.00% | |||
PSUs granted in 2015 and 2016 [member] | Top of range [member] | ||||
Share Based Payment Plans [line items] | ||||
Percentage of vesting multiplier | 300.00% | |||
PSUs granted in 2017 and 2018 [member] | ||||
Share Based Payment Plans [line items] | ||||
Share based compensation, measurement period | 3 years | |||
PSUs granted in 2017 and 2018 [member] | Bottom of range [member] | ||||
Share Based Payment Plans [line items] | ||||
Percentage of vesting | 0.00% | |||
PSUs granted in 2017 and 2018 [member] | Top of range [member] | ||||
Share Based Payment Plans [line items] | ||||
Percentage of vesting | 200.00% | |||
PSUs granted in November 2015 [member] | ||||
Share Based Payment Plans [line items] | ||||
Total Stockholders return percentage achieved | 184.40% | 251.10% | 118.20% | |
Potential additional shares to be vested | 187,648 | 366,669 | 47,229 | |
Vesting date of additional shares | November 2018 | November 2018 | November 2018 | |
Number of shares granted | 1,231,055 | |||
PSUs granted in March 2016 [member] | ||||
Share Based Payment Plans [line items] | ||||
Total Stockholders return percentage achieved | 229.90% | 115.90% | ||
PSUs granted in May 2016 [member] | ||||
Share Based Payment Plans [line items] | ||||
Total Stockholders return percentage achieved | 217.20% | 98.10% | ||
PSUs granted in August 2016 [member] | ||||
Share Based Payment Plans [line items] | ||||
Total Stockholders return percentage achieved | 282.20% | 191.60% | ||
PSUs granted in November 2016 [member] | ||||
Share Based Payment Plans [line items] | ||||
Total Stockholders return percentage achieved | 148.70% | 223.80% | ||
PSUs granted in 2016 [member] | ||||
Share Based Payment Plans [line items] | ||||
Potential additional shares to be vested | 446,022 | 186,059 | ||
Vesting date of additional shares | 2019 |
Share-Based Compensation - Summ
Share-Based Compensation - Summary of Performance-Based RSU (Detail) - 2018 performance shares [member] - EUR (€) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of Input of Model Used for Performance-Based RSU [Line Items] | ||
Fair value at grant date (in euros) | € 15.31 | € 11.52 |
Share price at grant date (in euros) | € 10.27 | € 7.50 |
Dividend yield | 0.00% | 0.00% |
Expected volatility | 75.00% | 75.00% |
Risk-free interest rate (US government bond yield) | 2.60% | 1.51% |
Model used | Monte Carlo | Monte Carlo |
Share-Based Compensation - Su_2
Share-Based Compensation - Summary of Movements in Shares (Detail) | 12 Months Ended | |
Dec. 31, 2018EUR (€)shares | Dec. 31, 2017EUR (€)shares | |
Performance-Based RSU [member] | ||
Disclosure of movement of potential shares [line items] | ||
Potential Shares, Beginning balance | shares | 3,257,840 | 2,066,835 |
Potential Shares, Granted | shares | 701,109 | 892,781 |
Potential Shares, Over performance | shares | 633,670 | 552,728 |
Potential Shares, Vested | shares | (1,265,635) | |
Potential Shares, Forfeited | shares | (241,820) | (254,504) |
Potential Shares, Ending balance | shares | 3,085,164 | 3,257,840 |
Weighted- Average Grant-Date Fair Value per Share, Beginning balance | € | € 8.56 | € 7.50 |
Weighted- Average Grant-Date Fair Value per Share, Granted | € | 15.31 | 11.52 |
Weighted- Average Grant-Date Fair Value per Share, Over performance | € | 7.28 | 7.63 |
Weighted- Average Grant-Date Fair Value per Share, Vested | € | 7.09 | |
Weighted- Average Grant-Date Fair Value per Share, Forfeited | € | 8.40 | 8.29 |
Weighted- Average Grant-Date Fair Value per Share, Ending balance | € | € 10.45 | € 8.56 |
Restricted Stock Units [member] | ||
Disclosure of movement of potential shares [line items] | ||
Potential Shares, Beginning balance | shares | 944,500 | 479,500 |
Potential Shares, Granted | shares | 595,687 | 703,180 |
Potential Shares, Vested | shares | (155,000) | (125,000) |
Potential Shares, Forfeited | shares | (72,663) | (113,180) |
Potential Shares, Ending balance | shares | 1,312,524 | 944,500 |
Weighted- Average Grant-Date Fair Value per Share, Beginning balance | € | € 7.76 | € 7.82 |
Weighted- Average Grant-Date Fair Value per Share, Granted | € | 10.23 | 7.50 |
Weighted- Average Grant-Date Fair Value per Share, Vested | € | 10.83 | 7.02 |
Weighted- Average Grant-Date Fair Value per Share, Forfeited | € | 8.57 | 7.27 |
Weighted- Average Grant-Date Fair Value per Share, Ending balance | € | € 8.47 | € 7.76 |
Equity Awards Plans [member] | ||
Disclosure of movement of potential shares [line items] | ||
Potential Shares, Beginning balance | shares | 95,340 | 94,881 |
Potential Shares, Granted | shares | 30,709 | 54,409 |
Potential Shares, Vested | shares | (68,136) | (53,950) |
Potential Shares, Ending balance | shares | 57,913 | 95,340 |
Weighted- Average Grant-Date Fair Value per Share, Beginning balance | € | € 5.20 | € 5.01 |
Weighted- Average Grant-Date Fair Value per Share, Granted | € | 10.27 | 6.09 |
Weighted- Average Grant-Date Fair Value per Share, Vested | € | 4.85 | 5.76 |
Weighted- Average Grant-Date Fair Value per Share, Ending balance | € | € 8.31 | € 5.20 |
Share-Based Compensation - Su_3
Share-Based Compensation - Summary of Movements in Shares (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2018shares | |
Disclosure of movement of potential shares [line items] | |
Performance based shares forfeited upon departure of certain beneficiaries | 213,820 |
Performance based shares forfeited upon non-fulfilment of performance conditions | 28,000 |
Performance share units (PSUs) [member] | |
Disclosure of movement of potential shares [line items] | |
Percentage of vesting multiplier | 100.00% |
Subsidiaries and Operating Se_3
Subsidiaries and Operating Segments - Summary of Group's Affiliates are Included in Consolidated Financial Statements (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
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 | US |
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 |
AS&I [member] | Constellium Automotive Nanjing Co Ltd [member] | |
Disclosure of subsidiaries [line items] | |
Country | China |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
AS&I [member] | Constellium Automotive Spain SL [member] | |
Disclosure of subsidiaries [line items] | |
Country | Spain |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Issoire S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium Montreuil Juigne S.A.S. [member] | |
Disclosure of subsidiaries [line items] | |
Country | France |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
A&T [member] | Constellium China Limited [member] | |
Disclosure of subsidiaries [line items] | |
Country | China |
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 | US |
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 |
A&T [member] | AluInfra Services SA [member] | |
Disclosure of subsidiaries [line items] | |
Country | Switzerland |
Percentage Group Interest | 50.00% |
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 | US |
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] | Constellium Muscle Shoals LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | US |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Holding Muscle Shoals LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | US |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Muscle Shoals Funding II LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | US |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Listerhill Total Maintenance Center LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | US |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium Metal Procurement LLC [member] | |
Disclosure of subsidiaries [line items] | |
Country | US |
Percentage Group Interest | 100.00% |
Consolidation Method | Full |
P&ARP [member] | Constellium-Bowling Green [member] | |
Disclosure of subsidiaries [line items] | |
Country | US |
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 S.A.S. [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 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 | US |
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets | ||||
Cash and cash equivalents | € 164 | € 269 | € 347 | € 472 |
Trade receivables and other | 587 | 419 | ||
Other financial assets | 30 | 69 | ||
Total current assets | 1,441 | 1,400 | ||
Non-current assets | ||||
Property, plant and equipment | 1,666 | 1,517 | 1,477 | |
Deferred income tax assets | 163 | 164 | ||
Total non-current assets | 2,460 | 2,311 | ||
Total Assets | 3,901 | 3,711 | ||
Current liabilities | ||||
Trade payables and other | 968 | 930 | ||
Income tax payable | 8 | 11 | ||
Other financial liabilities | 60 | 23 | ||
Total current liabilities | 1,139 | 1,110 | ||
Non-current liabilities | ||||
Borrowings | 2,094 | 2,021 | ||
Total non-current liabilities | 2,876 | 2,920 | ||
Total Liabilities | 4,015 | 4,030 | ||
Equity | ||||
Share capital | 3 | 3 | ||
Share premium | 420 | 420 | ||
Accumulated retained earnings | (545) | (750) | ||
Total Equity | (114) | (319) | (570) | (540) |
Total Equity and Liabilities | 3,901 | 3,711 | ||
Parent [member] | ||||
Current assets | ||||
Cash and cash equivalents | 0 | 0 | € 0 | € 0 |
Trade receivables and other | 109 | 53 | ||
Other financial assets | 38 | 28 | ||
Total current assets | 147 | 81 | ||
Non-current assets | ||||
Property, plant and equipment | 0 | 0 | ||
Financial assets | 2,106 | 2,143 | ||
Investments in subsidiaries | 144 | 131 | ||
Deferred income tax assets | 2 | |||
Total non-current assets | 2,252 | 2,274 | ||
Total Assets | 2,399 | 2,355 | ||
Current liabilities | ||||
Trade payables and other | 5 | 6 | ||
Income tax payable | 21 | |||
Other financial liabilities | 33 | 22 | ||
Total current liabilities | 59 | 28 | ||
Non-current liabilities | ||||
Borrowings | 2,022 | 1,957 | ||
Total non-current liabilities | 2,022 | 1,957 | ||
Total Liabilities | 2,081 | 1,985 | ||
Equity | ||||
Share capital | 3 | 3 | ||
Share premium | 429 | 429 | ||
Accumulated retained earnings | (239) | (17) | ||
Other reserves | 38 | 25 | ||
Net income/ (loss) | 87 | (70) | ||
Total Equity | 318 | 370 | ||
Total Equity and Liabilities | € 2,399 | € 2,355 |
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, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of condensed financial information of parent company [line items] | |||
Revenue | € 5,686 | € 5,237 | € 4,743 |
Gross profit | 538 | 555 | 535 |
Selling and administrative expenses | (247) | (247) | (253) |
Employee benefit expenses | (927) | (907) | (876) |
(Loss) / Income from operations | 404 | 338 | 267 |
Financial result-net | (149) | (260) | (188) |
Income / (loss) before income tax | 222 | 49 | 65 |
Income tax (expense) / benefit | (32) | (80) | (69) |
Net income / (loss) | 190 | (31) | (4) |
Other comprehensive (loss) / income | 7 | 15 | (30) |
Total comprehensive income / (loss) | 197 | (16) | (34) |
Parent [member] | |||
Disclosure of condensed financial information of parent company [line items] | |||
Revenue | 3 | 1 | 1 |
Gross profit | 3 | 1 | 1 |
Selling and administrative expenses | (15) | (5) | (8) |
Employee benefit expenses | (3) | (1) | |
Loss from recurring operations | (15) | (5) | (7) |
Other income | 0 | 0 | 0 |
Other expense | (3) | ||
(Loss) / Income from operations | (18) | (5) | (7) |
Financial result-net | 80 | (65) | 1 |
Income / (loss) before income tax | 62 | (70) | (6) |
Income tax (expense) / benefit | 25 | ||
Net income / (loss) | 87 | (70) | (6) |
Other comprehensive (loss) / income | 0 | 0 | 0 |
Total comprehensive income / (loss) | € 87 | € (70) | € (6) |
Parent Company - Statement of_2
Parent Company - Statement of Cash Flows of Constellium N.V. (Parent Company Only) (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Disclosure of condensed financial information of parent company [line items] | |||
Net income/ (loss) | € 190 | € (31) | € (4) |
Adjustments | |||
Finance cost-net | 149 | 260 | 188 |
Income tax | 32 | 80 | 69 |
Interest paid | (129) | (185) | (174) |
Changes in working capital | |||
Trade receivables and other | (145) | (91) | 28 |
Trade payables and other | (27) | 124 | (18) |
Net cash flows used in investing activities | (91) | (292) | (365) |
Proceeds from issuance of Senior Notes | 1,440 | 375 | |
Repayment of Senior Notes | (1,559) | (148) | |
Other | (14) | 10 | 8 |
Net cash flows (used in) / from financing activities | (82) | 61 | 145 |
Net (decrease) / increase in cash and cash equivalents | (107) | (71) | (132) |
Cash and cash equivalents-beginning of year | 269 | 347 | 472 |
Effect of exchange rate changes on cash and cash equivalents | 2 | (7) | 3 |
Cash and cash equivalents-end of year | 164 | 269 | 347 |
Parent [member] | |||
Disclosure of condensed financial information of parent company [line items] | |||
Net income/ (loss) | 87 | (70) | (6) |
Adjustments | |||
Finance cost-net | (80) | 65 | (1) |
Dividend received | 0 | 0 | 0 |
Income tax | (25) | ||
Interest paid | (102) | (148) | (95) |
Interest received | 134 | 149 | 103 |
Changes in working capital | |||
Trade receivables and other | (1) | ||
Other financial liabilities | 0 | 0 | 0 |
Trade payables and other | 2 | (1) | |
Net cash flows from / (used in) operating activities | 14 | (3) | |
Investments in subsidiaries | (1) | (11) | |
Current account with subsidiaries and related parties | (13) | 180 | (186) |
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 investing activities | (14) | (639) | (380) |
Net proceeds received from issuance of shares | 259 | ||
Proceeds from issuance of Senior Notes | 1,440 | 375 | |
Payment of deferred financing costs | (29) | (12) | |
Repayment of Senior Notes | (949) | ||
Payment of exit fees | (61) | ||
Realized foreign exchange gains / (losses) | (17) | 17 | |
Other | (1) | ||
Net cash flows (used in) / from financing activities | 642 | 380 | |
Net (decrease) / increase in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents-beginning of year | 0 | 0 | 0 |
Effect of exchange rate changes on cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents-end of year | € 0 | € 0 | € 0 |
Parent Company - Additional Inf
Parent Company - Additional Information (Detail) - IFRS9 [member] - EUR (€) € in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disclosure of condensed financial information of parent company [line items] | ||
Loss on opening retained earnings, net of tax | € 151 | |
Loss allowance | € 0 | |
Gain on other comprehensive income | € 53 |
Acquisition of Constellium-Bo_3
Acquisition of Constellium-Bowling Green - Additional Information (Detail) - EUR (€) € in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Jan. 10, 2019 | Dec. 31, 2017 | |
Disclosure of detailed information about business combination [line items] | |||
Preexisting trade receivables with acquiree | € 481 | € 306 | |
Constellium-Bowling Green [member] | |||
Disclosure of detailed information about business combination [line items] | |||
Combined revenue | 5,772 | ||
Combined net income | € 159 | ||
Constellium-Bowling Green [member] | Major business combination [member] | |||
Disclosure of detailed information about business combination [line items] | |||
Percentage of voting equity interests acquired | 49.00% | ||
Consideration transferred | € 87 | ||
Fair value of previously held interest | 73 | ||
Preexisting trade receivables with acquiree | € 38 |
Acquisition of Constellium-Bo_4
Acquisition of Constellium-Bowling Green - Summary of Preliminary Goodwill Arising as a Result of Preliminary Allocation of Purchase Price to Assets Acquired and Liabilities Assumed (Detail) - Constellium-Bowling Green [member] - Major business combination [member] € in Millions | Jan. 10, 2019EUR (€) |
Disclosure of detailed information about business combination [line items] | |
Cash and cash equivalents | € 8 |
Trade receivables and other | 49 |
Inventories | 74 |
Property, plant and equipment | 165 |
Trade payables and other | (45) |
Borrowings | (75) |
Net asset acquired at fair value | 176 |
Preliminary Goodwill | 22 |
Total Consideration | € 198 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - Major business combination [member] - EUR (€) € in Millions | Feb. 20, 2019 | Jan. 10, 2019 |
Top of range [member] | Pan US ABL Facility [member] | ||
Disclosure of non-adjusting events after reporting period [line items] | ||
Increase in commitments | € 350 | |
Constellium-Bowling Green [member] | ||
Disclosure of non-adjusting events after reporting period [line items] | ||
Percentage of voting equity interest acquired | 49.00% |