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Financial Report | Statutory Auditors’ Report on the Consolidated Financial Statements |
Consolidated
Financial Statements
| Statutory Auditors’ Report on the Financial Statements | Statutory Financial Statements
Note 10. Content assets and commitments
10.2.
Contractual content commitments
Commitments given recorded in the Statement of Financial Position: content liabilities
Content liabilities are mainly part of “Trade accounts payable and other” or part of “Other non-current liabilities” whether they are current or non-current,
as applicable (please refer to Note 15).
(in millions of euros)
Minimum future payments as of December 31, 2014
Total minimum future
payments as of
December 31, 2013
Total
Due in
2015 2016-2019 After 2019
Film and television rights
(a)
193
193
-
-
208
Sports rights
400
400
-
-
402
Music royalties to artists and repertoire owners
1,721
1,699
22
-
1,614
Creative talent, employment agreements and others
119
42
75
2
111
Content liabilities
2,433
2,334
97
2
2,335
Off-balance sheet commitments given/(received)
(in millions of euros)
Minimum future payments as of December 31, 2014
Total minimum future
payments as of
December 31, 2013
Total
Due in
2015 2016-2019 After 2019
Film and television rights
(a)
2,443
982
1,416
45
2,383
Sports rights
(b)
3,087
635
2,452
-
1,350
Creative talent, employment agreements and others
(c)
807
367
401
39
754
Given commitments
6,337
1,984
4,269
84
4,487
Film and television rights
(a)
(199)
(85)
(89)
(25)
(179)
Sports rights
(3)
(3)
-
-
(10)
Creative talent, employment agreements and others
(c)
Not available
Received commitments
(202)
(88)
(89)
(25)
(189)
Total net
6,135
1,896
4,180
59
4,298
(a)
Mainly includes contracts valid over several years for the broadcast of film and TV productions (mainly exclusivity contracts with major US studios, as
well as the license agreement entered into on March 29, 2013 in respect of the entire HBO new series, for 5 years, as of May 2013) and pre-purchase
contracts relating to the French movie industry, Studiocanal film production and co-production commitments (given and received) and broadcasting
rights of Canalsat and nc+ multichannel digital TV packages. They are recorded as content assets when the broadcast is available for initial release
or after the initial significant payment. As of December 31, 2014, provisions recorded relating to these commitments amounted to €73 million,
compared to €71 million as of December 31, 2013.
In addition, this amount does not include commitments in relation to channel right contracts, ISP (Internet Service Provider) royalties and non-
exclusive distribution of channels, under which Canal+ Group has not granted or received minimum guarantees. The variable amount of these
commitments cannot be reliably determined and is not reported in the Statement of Financial Position or in commitments and is instead recorded
as an expense for the period in which it was incurred. Based on the estimation of the future subscriber number at Canal+ Group, commitments in
relation to channel right contracts would have increased by a net amount of €342 million as of December 31, 2014, compared to €354 million as of
December 31, 2013.
Moreover, according to the agreement entered into with organizations of cinema professionals on December 18, 2009, Société d’Édition de Canal
Plus (SECP) is required to invest, every year for a five-year period (2010-2014), 12.5% of its annual revenues in the financing of European films. With
respect to audiovisual, in accordance with the agreements entered into with producers and authors’ organizations, Canal+ Group is required to invest,
in France, a percentage of its revenues in the financing of heritage work every year.
Agreements with cinema organizations and with producers and authors’ organizations are not recorded as off-balance sheet commitments as the
future estimate of these commitments cannot be reliably determined.
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