Provisions for financial risks include the Group’s share of the negative net equity of companies accounted for under the equity method.
That negative net equity results from the measurement of interest rate derivative instruments (cash flow hedges) at fair value in the financial statements of the companies concerned.
Provisions for other liabilities, not directly linked to the operating cycle, include provisions for disputes and arbitration, some of which are described in Note M, “Note on litigation”. These amounted to €393 million at 31 December 2021 (€303 million at 31 December 2020), including €242 million at more than one year (€155 million at 31 December 2020).
At the start of the lease, the liability is measured on the basis of the present value of payments remaining payable to the lessor, i.e.:
The liability may be remeasured in the following situations: adjustment of the lease term; adjustment related to the assessment of whether the exercise of an option is reasonably certain or not; a new estimate of residual value guarantees; revision of rates or indices on which lease payments are based at the time that lease payments are adjusted.
At 31 December 2021, lease liabilities amounted to €2,098 million, including €1,574 million for the part at more than one year and €524 million for the part at less than one year.
They totalled €1,907 million at 31 December 2020.
The net change of €191 million in 2021 breaks down as follows:
| (in € millions) | Non-current lease liabilities |
Between 1 and 2 years |
Between 2 and 5 years |
After 5 years |
|---|---|---|---|---|
| Lease liabilities related to property assets | Lease liabilities related to property assets Non-currentlease liabilities 1,053 |
Lease liabilities related to property assets Between 1 and 2 years 308 |
Lease liabilities related to property assets Between 2 and 5 years 391 |
Lease liabilities related to property assets After 5 years 353 |
| Lease liabilities related to movable assets | Lease liabilities related to movable assets Non-currentlease liabilities 521 |
Lease liabilities related to movable assets Between 1 and 2 years 203 |
Lease liabilities related to movable assets Between 2 and 5 years 122 |
Lease liabilities related to movable assets After 5 years 196 |
| 31/12/2021 | 31/12/2021Non-current lease liabilities1,574 |
31/12/2021 Between 1 and 2 years 512 |
31/12/2021 Between 2 and 5 years 513 |
31/12/2021 After 5 years 549 |
| (in € millions) | 31/12/2021 | 31/12/2020 |
|---|---|---|
| Purchase and capital expenditure obligations (*) | Purchase and capital expenditure obligations (*) 31/12/20211,291 |
Purchase and capital expenditure obligations (*) 31/12/2020 593 |
| Obligations related to quarrying rights | Obligations related to quarrying rights 31/12/2021112 |
Obligations related to quarrying rights 31/12/2020 116 |
(*) Excluding capital investment obligations related to concession and PPP contracts (see Note F, “Concessions: PPP contracts, concession contracts and other infrastructure”).
The increase in purchase and capital expenditure obligations, excluding those associated with concession contracts, is due to the integration of solar PV and wind projects for €656 million at Cobra IS. The other obligations relate to VINCI Immobilier and to a lesser extent VINCI Energies and VINCI Construction. VINCI Concessions, via its VINCI Concessions Ventures subsidiary, has made a commitment to invest in the world’s largest fund dedicated to clean hydrogen infrastructure solutions.
Obligations related to quarry operations include quarrying rights and quarry leases, which concern VINCI Construction.
