Mediaset S p A : Annual Report

MEDIASET S.p.A. - via Paleocapa, 3 - 20121 Milan Share Capital EUR 614,238,333.28 fully paid-up Tax Code, VAT number and Milan Companies Register No.: 09032310154

Website: www.mediaset.it

Table of Contents

Mediaset Group - Annual Report 2020

Corporate Boards ...........................................................................................................................	1
Financial Highlights........................................................................................................................	2
Directors' Report on Operations .....................................................................................................	4
General Economic Trends ..............................................................................................................	8
Developments in Television-Sector Legislation..............................................................................	10
Mediaset Shares .........................................................................................................................	14
Significant Events and Key Corporate Transaction for the Year......................................................	18
Main Group Companies .................................................................................................................	25
Group Profile and Performance Review by Business Segment.......................................................	26
Consolidated performance by geographical area and business segment..........................................	66
Group Performance ................................................................................................................	66
Balance Sheet and Financial Position .......................................................................................	75
Parent Company Performance .....................................................................................................	81
Profit/Loss ............................................................................................................................	81
Balance Sheet and Financial Position .......................................................................................	83
Reconciliation between Consolidated and Parent Company Net Profit and Shareholders' Equity.......	86
Consolidated Non-Financial Report (Legislative Decree No. 254/2016 ...........................................	87
Disclosure of the Main Risks and Uncertainties to which the Group is Exposed.................................	87
Human Resources .......................................................................................................................	97
Environment.............................................................................................................................	102
Disclosure required by article 2428 of the Italian Civil Code.........................................................	102
Other Information .....................................................................................................................	107
Subsequent Events after 31 December 2020..............................................................................	111
Business Outlook for 2021 ........................................................................................................	112
Net Result of the Parent Company .............................................................................................	113
Consolidated Financial Statements and Explanatory Notes .......................................................	115
Consolidated Statement of Income.............................................................................................	117
Consolidated Statement of Comprehensive Income .....................................................................	118
Consolidated Statement of Financial Position..............................................................................	119

Consolidated Statement of Financial Position..............................................................................	120
Consolidated Statement of Cash Flows .......................................................................................	121
Consolidated Statement of Changes in Shareholders' Equity ........................................................	122
Consolidated Statement of Income pursuant to
Consob Resolution No. 15519 of 27 July 2006 ..........................................................................	123
Consolidated Statement of Financial Position pursuant to
Consob Resolution No. 15519 of 27 July 2006 ..........................................................................	124
Consolidated Statement of Financial Position pursuant to
Consob Resolution No. 15519 of 27 July 2006 ..........................................................................	125
Notes to the consolidated financial statements..........................................................................	127
1. General information ..............................................................................................................	127
2. Presentation Bases and Accounting Standards for the
Preparation of the Financial Statements.....................................................................................	127
3. Summary of Accounting Standards and Measurement Bases....................................................	130
4. Key Information relating to the Scope of Consolidation............................................................	137
5. Business Combinations..........................................................................................................	144
6. Segment Reporting ...............................................................................................................	146
Notes on the main items of the Statement of Income .................................................................	150
7. Income Statement.................................................................................................................	150
Notes on main Asset items.........................................................................................................	161
8. Non-current assets................................................................................................................	161
9. Current assets ......................................................................................................................	182
Notes on Main Liability Items .....................................................................................................	190
10. Share Capital and Reserves .................................................................................................	190
11. Non-current liabilities ..........................................................................................................	194
12. Current liabilities ................................................................................................................	204
Notes on main Cash Flow Statement items ................................................................................	219
13. Statement of Cash Flows .....................................................................................................	219
Other Information.......................................................................................................................	220
14. Disclosures on Financial Instruments and Risk Management Policies.......................................	220
15. Government Funding...........................................................................................................	226
16. Share-based Payments........................................................................................................	226
17. Related-party Transactions..................................................................................................	229
18. Guarantees and Commitments .............................................................................................	231

19. Subsequent events..............................................................................................................	232
20. List of equity investments included in the Group's consolidated
financial statements as at 31 December 2020 ............................................................................	233
Certification of the Consolidated Annual Report
pursuant Art. 154-bis of Legislative Decree 58/98.....................................................................	235
Independent Auditors' Report.....................................................................................................	239