Litigation and Compliance With Laws and Regulations
Refer to the disclosure on “Management judgmentand use of accounting estimates” and Note 32 “Litigation and claims” of the
fi nancial statements.
The Risk
Litigation and claims involve amounts that are potentially significant and the estimate of the amount to be provided as a liability,
if any, is inherently subjective. The outcome of these matters may have a material effect on the Group’s result and financial
position. A part of the Group’s business is characterised by competition for individual significant contracts with customers
which are often directly or indirectly associated with governments. The process associated with these activities is susceptible
to the risk of non-compliance with laws and regulations. In addition the Group operates in a number of territories where the use
of commercial intermediaries is normal practice. Subsidiaries of Airbus Group N.V. are currently under investigation by various
law enforcement agencies (e.g. GPT and Eurofighter), including investigations started by the German and Romanian authorities
mid-October 2014 relating to the border-surveillance project in Romania and two other projects in China and Saudi Arabia.