129 CONSOLIDATED FINANCIAL STATEMENTS128 CONSOLIDATED FINANCIAL STATEMENTS MONCLER GROUP 2022

The actuarial valuation of employee termination benefits (TFR) is based on the Projected Unit Credit Cost method. Reported below are the main economic and demographic assumptions utilised for actuarial valuations.

Assumptions Discount rate 2.98% Inflation rate 2.80% Nominal rate of wage growth 2.80% Labour turnover rate 10.59% Probability of request of advances of TFR 2.93% Percentage required in case of advance 70.00% Life Table - Male M2019 Life Table - Female F2019

(*) Table ISTAT - resident population

The following table shows the effect of variations, within reason- able limits, in key actuarial assumptions on defined benefit plan ob- ligations at year end.

SENSITIVITY ANALYSIS

(Euro/000) Variation Discount rate +0.5% (155) Discount rate -0.5% 165 Rate of payments Increases x (+0.5%) 5 Rate of payments Decreases x (-0.5%) (605) Rate of Price Inflation Increases (+0.5%) 113 Rate of Price Inflation Decreases (-0.5%) (106) Rate of Salary Increases (+0.5%) 25 Rate of Salary Decreases (-0.5%) (24) Increase the retirement age (+1 year) (5) Decrease the retirement age (-1 year) 6 Increase longevity (+1 year) (0) Decrease longevity (-1 year) 0

5.15 FINANCIAL LIABILITIES

Financial liabilities are detailed in the following table: BORROWINGS

(Euro/000) 31/12/2022 31/12/2021 Bank overdraft and short-term bank loans 0 130,003 Short-term portion of long-term bank loans 7,429 11,801 Short-term financial lease liabilities 163,194 125,597 Other short-term loans 23,447 21,790 Short-term borrowings 194,070 289,191 Long-term portion of long-term bank loans 2,264 9,713 Long-term financial lease liabilities 674,285 584,679 Other long-term borrowings 42,160 30,340 Long-term borrowings 718,709 624,732 Total 912,779 913,923

Short-term borrowings include bank overdraft and short-term bank loans, the current portion of long-term bank loans, short-term fi- nancial lease liabilities arising from the application of IFRS 16 and, under other short-term loans, mainly the current portion of financial liabilities payable to non-banking third parties.

Long-term borrowings include the non-current portion of long-term bank loans, long-term financial lease liabilities arising from the application of IFRS 16 and financial liabilities payable to non-bank third parties.

Financial lease liabilities amounted to EUR 837 million (EUR 710 million in 2021) and are detailed in the following table:

FINANCIAL LEASE LIABILITIES

(Euro/000) 31/12/2022 31/12/2021 Short-term financial lease liabilities 163,194 125,597 Long-term financial lease liabilities 674,285 584,679 Total 837,479 710,276

The changes in financial lease liabilities during 2022 are reported in the following table:

IFRS 16 Ex IAS 17 Financial lease (Euro/000) liabilities 01/01/2022 710,069 207 710,276 Acquisitions 267,480 0 267,480 Disposals (170,373) (127) (170,502) Financial expenses 23,239 2 23,241 Changes in consolidation area 0 0 0 Translation adjustment 6,982 0 6,982 31/12/2022 837,397 82 837,479

The following table shows the breakdown of the long-term borrow- ings in accordance with their maturity date:

AGEING OF THE LONG-TERM BORROWINGS

(Euro/000) 31/12/2022 31/12/2021 Within 2 years 163,333 139,137 From 2 to 5 years 334,904 289,848 Beyond 5 years 220,472 195,747 TOTAL 718,709 624,732

The following tables show the breakdown of the long-term borrow- ings, excluded financial lease liabilities, in accordance with their maturity date:

AGEING OF LONG-TERM BORROWINGS EXCLUDED LEASE LIABILITIES

(Euro/000) 31/12/2022 31/12/2021 Within 2 years 14,871 18,026 From 2 to 5 years 29,553 22,027 Beyond 5 years 0 0 Total 44,424 40,053

The non-discounted cash flows referring to the lease liabilities are shown below.

AGEING OF THE LEASE LIABILITIES NOT DISCOUNTED

(Euro/000) 31/12/2022 31/12/2021 Within 1 year 186,391 149,378 From 1 to 5 years 507,103 432,758 Beyond 5 years 237,991 210,691 Total 931,485 792,827

Long-term bank loans include outstanding amounts to be repaid to banks relating to unsecured loans taken out by the sub-group Stone Island companies.

Finally, the caption other short-term loans includes also the negative fair value, equal to EUR 9.0 million (compared to EUR 19.0 million negative as at 31 December 2021), related to the contracts to hedge the exchange rate risk. Please refer to note 9.3 for more details. The net financial position is detailed in the following table:

NET FINANCIAL POSITION

(Euro/000) 31/12/2022 31/12/2021 A. Cash 882,254 932,718 B. Cash equivalents 0 0 C. Other current financial assets 11,351 722 D. Liquidity (A)+(B)+(C) 893,605 933,440 E. Current financial DEBT (23,447) (151,793) F. Current portion of non-current financial debt (170,623) (137,398) G. Current financial indebtedness (E)+(F) (194,070) (289,191) H. Net current financial indebtedness (G)+(D) 699,535 644,249 I. Non current financial debt (676,549) (594,392) J. Debt instruments 0 0 K. Non-current trade and other payables (42,160) (30,340) L. Non-current financial indebtedness (I)+(J)+(K) (718,709) (624,732) M. Total financial indebtedness (H)+(L) (19,174) 19,517

Net financial position as defined by the new ESMA Guidelines of 4 March 2021 (Consob Warning notice no. 5/21 to the Consob Communication DEM/6064293 of 28 July 2006).