Other operating costs include all external expenses other than production and media buying when the Groupe acts as an agent. This includes pass-through costs amounting to euro 956 million in 2020, versus euro 1,097 million in 2019; it also includes taxes other than income taxes, duties and other payments and increases and reversals of provisions.
(in millions of euros) | 2020 | 2019 |
|---|---|---|
Amortization of other intangible assets (excluding intangibles arising from acquisitions) | Amortization of other intangible assets (excluding intangibles arising from acquisitions) 2020 (55) | Amortization of other intangible assets (excluding intangibles arising from acquisitions) 2019 (39) |
Depreciation of property, plant and equipment | Depreciation of property, plant and equipment 2020 (150) | Depreciation of property, plant and equipment 2019 (143) |
Depreciation of right-of-use assets | Depreciation of right-of-use assets 2020 (395) | Depreciation of right-of-use assets 2019 (404) |
Depreciation and amortization expense (excluding acquired intangibles) | Depreciation and amortization expense (excluding acquired intangibles) 2020 (600) | Depreciation and amortization expense (excluding acquired intangibles) 2019 (586) |
Amortization of intangibles from acquisitions | Amortization of intangibles from acquisitions 2020 (339) | Amortization of intangibles from acquisitions 2019 (204) |
Impairment losses of intangible assets and intangible assets arising from acquisitions | Impairment losses of intangible assets and intangible assets arising from acquisitions 2020 - | Impairment losses of intangible assets and intangible assets arising from acquisitions 2019 (42) |
Impairment losses of goodwill | Impairment losses of goodwill 2020 (15) | Impairment losses of goodwill 2019 - |
Impairment of right-of-use assets | Impairment of right-of-use assets 2020 (226) | Impairment of right-of-use assets 2019 (127) |
Impairment of investments in associates | Impairment of investments in associates 2020 - | Impairment of investments in associates 2019 (25) |
Impairment losses on assets held for sale | Impairment losses on assets held for sale 2020 - | Impairment losses on assets held for sale 2019 (15) |
Impairment losses | Impairment losses 2020 (241) | Impairment losses 2019 (209) |
Total depreciation, amortization and impairment losses | Total depreciation, amortization and impairment losses 2020 (1,180) | Total depreciation, amortization and impairment losses 2019 (999) |
Amortization expense for brands
Amortization expense for Epsilon’s intangible assets
Amortization expense for other intangible assets related to acquisitions
When indications of impairment were identified on intangible assets related to acquisitions, impairment tests were conducted. All valuations required for these tests were conducted by an independent expert. The after-tax discount rates used and the long-term growth rates were determined taking into account the specific characteristics of these assets. These tests did not lead to the recognition of impairment at December 31, 2020.
At December 31, 2019, the tests carried out had led the Groupe to recognize a charge of euro 42 million, of which euro 20 million in impairment losses relating to contractual relationships with Digitas customers and euro 22 million relating to intangible assets related to data management, notably due to the duplication of certain applications following the acquisition of Epsilon.
Impairment tests were carried out on the cash-generating units, which are the 10 key markets in which the Groupe operates: United States, Canada, United Kingdom, France, DACH (Germany, Austria and Switzerland), Asia-Pacific, Africa-Middle East, Northern and Central Europe, Western Europe, Latin America (excluding Brazil) and Brazil, as well as on other goodwill.
