UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
__________________________________________________________________________
FORM 6-K
__________________________________________________________________________

REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of July 2020

Commission File Number 001-35931
__________________________________________________________________________
Constellium SE
(Translation of Registrant’s name into English)
_________________________________________________________________________

Washington Plaza,
40-44 rue Washington
75008 Paris, France
(Address of principal executive offices)
__________________________________________________________________________

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F: Form 20-F x Form 40-F ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): Yes ☐ No x

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): Yes ☐ No x
 













INFORMATION CONTAINED IN THIS FORM 6-K REPORT
Attached hereto as Exhibit 99.1 is a copy of the financial report of Constellium SE relating to its half-year ended June 30, 2020.
Exhibit Index
No.
 
Description
 
 
99.1
 
 
 

The information contained in Exhibit 99.1 of this Form 6-K is incorporated by reference into any offering circular or registration statement (or into any prospectus that forms a part thereof) filed by Constellium SE with the Securities and Exchange Commission.
 
























SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
 
CONSTELLIUM SE
(Registrant)
 
 
 
 
July 23, 2020
 
By:
 
/s/ Peter R. Matt
 
 
Name:
 
Peter R. Matt
 
 
Title:
 
Chief Financial Officer



Exhibit


INDEX TO UNAUDITED CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS
Constellium SE Unaudited Condensed Interim Consolidated Financial Statements at June 30, 2020 and 2019, and for the six months ended June 30, 2020 and 2019.


F-1


UNAUDITED INTERIM CONSOLIDATED INCOME STATEMENT
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Revenue
 
3
 
1,031

 
1,538

 
2,468

 
3,074

Cost of sales
 
 
 
(962
)
 
(1,356
)
 
(2,246
)
 
(2,748
)
Gross profit
 
 
 
69

 
182

 
222

 
326

Selling and administrative expenses
 
 
 
(57
)
 
(70
)
 
(123
)
 
(138
)
Research and development expenses
 
 
 
(7
)
 
(12
)
 
(20
)
 
(24
)
Restructuring costs
 
20
 
(11
)
 
(1
)
 
(11
)
 
(1
)
Other gains / (losses) - net
 
5
 
5

 
(30
)
 
(63
)
 
(14
)
(Loss) / income from operations
 
 
 
(1
)
 
69

 
5

 
149

Finance costs - net
 
7
 
(42
)
 
(43
)
 
(87
)
 
(89
)
Share of income of joint-ventures
 
 
 
—

 
—

 
—

 
5

(Loss) / income before income tax
 
 
 
(43
)
 
26

 
(82
)
 
65

Income tax benefit / (expense)
 
8
 
11

 
(9
)
 
19

 
(24
)
Net (loss) / income
 
 
 
(32
)
 
17

 
(63
)
 
41

(Loss) / income attributable to:
 
 
 
 
 
 
 
 
 
 
Equity holders of Constellium
 
 
 
(33
)
 
16

 
(64
)
 
39

Non-controlling interests
 
 
 
1

 
1

 
1

 
2

Net (loss) / income
 
 
 
(32
)
 
17

 
(63
)
 
41

Earnings per share attributable to the equity holders of Constellium
(in Euros per share)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Basic
 
9
 
(0.24
)
 
0.12

 
(0.46
)
 
0.29

Diluted
 
9
 
(0.24
)
 
0.11

 
(0.46
)
 
0.28

The accompanying Notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.


F-2


UNAUDITED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME / (LOSS)
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Net (loss) / income
 
 
 
(32
)
 
17

 
(63
)
 
41

Other comprehensive loss
 
 
 
 
 

 
 
 
 
Items that will not be reclassified subsequently to the Unaudited Interim Consolidated Income Statement
 
 
 
 
 

 
 
 
 
Remeasurement on post-employment benefit obligations
 
 
 
(35
)
 
(34
)
 
(41
)
 
(62
)
Income tax on remeasurement on post-employment benefit obligations
 
 
 
10

 
8

 
9

 
15

Items that may be reclassified subsequently to the Unaudited Interim Consolidated Income Statement
 
 
 
 
 

 
 
 
 
Cash flow hedges
 
18
 
5

 
2

 
—

 
(5
)
Net investment hedges
 
18
 
—

 
5

 
—

 
4

Income tax on hedges
 
 
 
(2
)
 
—

 
—

 
2

Currency translation differences
 
 
 
(2
)
 
(6
)
 
(2
)
 
(1
)
Other comprehensive loss
 
 
 
(24
)
 
(25
)
 
(34
)
 
(47
)
Total comprehensive loss
 
 
 
(56
)
 
(8
)
 
(97
)
 
(6
)
Attributable to:
 
 
 
 
 

 
 
 
 
Equity holders of Constellium
 
 
 
(57
)
 
(9
)
 
(98
)
 
(8
)
Non-controlling interests
 
 
 
1

 
1

 
1

 
2

Total comprehensive loss
 
 
 
(56
)
 
(8
)
 
(97
)
 
(6
)
The accompanying Notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.


F-3


UNAUDITED INTERIM CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(in millions of Euros)
 
Notes
 
At June 30,
2020
 
At December 31,
2019
Assets
 
 
 
 
 
 
Current assets
 
 
 
 
 
 
Cash and cash equivalents
 
10
 
378

 
184

Trade receivables and other
 
11
 
451

 
474

Inventories
 
12
 
635

 
670

Other financial assets
 
17
 
22

 
22

 
 
 
 
1,486

 
1,350

Non-current assets
 
 
 
 
 
 
Property, plant and equipment
 
13
 
2,031

 
2,056

Goodwill
 
14
 
456

 
455

Intangible assets
 
14
 
68

 
70

Investments accounted for under the equity method
 
 
 
1

 
1

Deferred income tax assets
 
 
 
222

 
185

Trade receivables and other
 
11
 
74

 
60

Other financial assets
 
17
 
9

 
7

 
 
 
 
2,861

 
2,834

Total Assets
 
 
 
4,347

 
4,184

Liabilities
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
Trade payables and other
 
15
 
1,003

 
999

Borrowings
 
16
 
102

 
201

Other financial liabilities
 
17
 
45

 
35

Income tax payable
 
 
 
20

 
14

Provisions
 
20
 
29

 
23

 
 
 
 
1,199

 
1,272

Non-current liabilities
 
 
 
 
 
 
Trade payables and other
 
15
 
19

 
21

Borrowings
 
16
 
2,434

 
2,160

Other financial liabilities
 
17
 
30

 
23

Pension and other post-employment benefit obligations
 
19
 
715

 
670

Provisions
 
20
 
99

 
99

Deferred income tax liabilities
 
 
 
25

 
24

 
 
 
 
3,322

 
2,997

Total Liabilities
 
 
 
4,521

 
4,269

Equity
 
 
 
 
 
 
Share capital
 
22
 
3

 
3

Share premium
 
22
 
420

 
420

Retained deficit and other reserves
 
 
 
(609
)
 
(519
)
Equity attributable to equity holders of Constellium
 
 
 
(186
)
 
(96
)
Non controlling interests
 
 
 
12

 
11

Total Equity
 
 
 
(174
)
 
(85
)
Total Equity and Liabilities
 
 
 
4,347

 
4,184

The accompanying Notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

F-4


UNAUDITED INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(in millions of Euros)

Share capital

Share premium

Re-
measurement

Cash flow hedges

Foreign currency translation reserve

Other reserves

Retained losses

Total Equity holders of Constellium

Non-controlling interests

Total equity
At January 1, 2020

3


420


(177
)

(10
)

4


53


(389
)

(96
)

11


(85
)
Net (loss) / income

—


—


—


—


—


—


(64
)

(64
)

1


(63
)
Other comprehensive loss

—


—


(32
)

—


(2
)

—


—


(34
)

—


(34
)
Total comprehensive (loss) / income

—


—


(32
)

—


(2
)

—


(64
)

(98
)

1


(97
)
Transactions with equity holders






























Share-based compensation

—


—


—


—


—


8


—


8


—


8

Transactions with non-controlling interests

—


—


—


—


—


—


—


—


—


—

At June 30, 2020

3


420


(209
)

(10
)

2


61


(453
)

(186
)

12


(174
)
(in millions of Euros)

Share capital

Share premium

Re-
measurement

Cash flow hedges and net investment hedges

Foreign currency translation reserve

Other reserves

Retained losses

Total Equity holders of Constellium

Non-controlling interests

Total equity
At January 1, 2019

3


420


(129
)

(8
)

3


37


(448
)

(122
)

8


(114
)
Net income

—


—


—


—


—


—


39


39


2


41

Other comprehensive (loss) / income

—


—


(47
)

1


(1
)

—


—


(47
)

—


(47
)
Total comprehensive (loss) / income

—


—


(47
)

1


(1
)

—


39


(8
)

2


(6
)
Transactions with equity holders






























Share-based compensation

—


—


—


—


—


7


—


7


—


7

Transactions with non-controlling interests

—


—


—


—


—


—


—


—


—


—

At June 30, 2019

3


420


(176
)

(7
)

2


44


(409
)

(123
)

10


(113
)
(in millions of Euros)
 
Share capital
 
Share premium
 
Re-
measurement
 
Cash flow hedges and net investment hedges
 
Foreign currency translation reserve
 
Other reserves
 
Retained losses
 
Total Equity holders of Constellium
 
Non-controlling interests
 
Total equity
At January 1, 2019
 
3

 
420

 
(129
)
 
(8
)
 
3

 
37

 
(448
)
 
(122
)
 
8

 
(114
)
Net income
 
—

 
—

 
—

 
—

 
—

 
—

 
59

 
59

 
5

 
64

Other comprehensive (loss) / income
 
—

 
—

 
(48
)
 
(2
)
 
1

 
—

 
—

 
(49
)
 
—

 
(49
)
Total comprehensive (loss) / income
 
—

 
—

 
(48
)
 
(2
)
 
1

 
—

 
59

 
10

 
5

 
15

Transactions with equity holders
 


 


 


 


 


 


 


 


 


 


Share-based compensation
 
—

 
—

 
—

 
—

 
—

 
16

 
—

 
16

 
—

 
16

Transactions with non-controlling interests
 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
(2
)
 
(2
)
At December 31, 2019
 
3

 
420

 
(177
)
 
(10
)
 
4

 
53

 
(389
)
 
(96
)
 
11

 
(85
)
The accompanying Notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

F-5


UNAUDITED INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS
(in millions of Euros)
 
Notes
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Net (loss) / income
 
 
 
(63
)
 
41

Adjustments
 
 
 
 
 
 
Depreciation, amortization and impairment
 
13, 14
 
137

 
117

Finance costs - net
 
7
 
87

 
89

Tax (benefit) / expense
 
8
 
(19
)
 
24

Share of income of joint-ventures
 
 
 
—

 
(5
)
Unrealized losses / (gains) on derivatives - net and from remeasurement of monetary assets and liabilities - net
 
 
 
11

 
(17
)
Losses on disposal
 
5
 
—

 
2

Other - net
 
 
 
13

 
6

Interest paid
 
 
 
(73
)
 
(78
)
Income tax paid
 
 
 
18

 
(11
)
Change in trade working capital
 
 
 
 
 
 
Inventories
 
 
 
35

 
24

Trade receivables
 
 
 
7

 
(29
)
Trade payables
 
 
 
(18
)
 
104

Margin calls
 
 
 
—

 
5

Change in provisions and pension obligations
 
 
 
2

 
(15
)
Other working capital
 
 
 
15

 
3

Net cash flows from operating activities
 
 
 
152

 
260

Purchases of property, plant and equipment
 
4
 
(98
)
 
(130
)
Acquisition of subsidiaries net of cash acquired
 
 
 
—

 
(83
)
Proceeds from disposals, net of cash
 
 
 
1

 
1

Other investing activities
 
 
 
—

 
(4
)
Net cash flows used in investing activities
 
 
 
(97
)
 
(216
)
Proceeds from issuance of Senior Notes
 
16
 
290

 
—

Repayment of Senior Notes
 
16
 
(200
)
 
—

Proceeds from French loan
 
16
 
180

 
—

Proceeds from Swiss credit facility
 
16
 
18

 
—

Lease repayments
 
16
 
(17
)
 
(70
)
(Repayments) / proceeds from U.S. revolving credit facility and other loans
 
16
 
(124
)
 
76

Payment of deferred financing costs
 
 
 
(9
)
 
—

Transactions with non-controlling interests
 
 
 
—

 
(2
)
Other financing activities
 
 
 
2

 
—

Net cash flows from financing activities
 
 
 
140

 
4

Net increase in cash and cash equivalents
 
 
 
195

 
48

Cash and cash equivalents - beginning of year
 
 
 
184

 
164

Effect of exchange rate changes on cash and cash equivalents
 
 
 
(1
)
 
1

Cash and cash equivalents - end of period
 
10
 
378

 
213

The accompanying Notes are an integral part of these Unaudited Condensed Interim Consolidated Financial Statements.

F-6

Notes to the Unaudited Condensed Interim Consolidated Financial Statements
NOTE 1 - GENERAL INFORMATION
Constellium is a global leader in the design and manufacture of a broad range of innovative specialty rolled and extruded aluminium products, serving primarily the packaging, aerospace and automotive end-markets. The Group has a strategic footprint of manufacturing facilities located in North America, Europe and China and operates 28 production facilities, 3 administrative centers and 3 R&D centers. The Group has approximately 12,400 employees.
Constellium SE, a French Societas Europaea (SE), is the parent company of the Group. The business address (head office) of Constellium SE is Washington Plaza, 40-44 rue Washington, 75008 Paris, France.
Unless the context indicates otherwise, when we refer to “we”, “our”, “us”, “Constellium”, the “Group” and the “Company” in this document, we are referring to Constellium SE and its subsidiaries.
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
2.1 Statement of compliance
The Unaudited Condensed Interim Consolidated Financial Statements present the Unaudited Interim Consolidated Income Statement, Statement of Comprehensive Income / (Loss) and Statement of Cash Flows for the six months ended June 30, 2020 and 2019; and the Unaudited Interim Consolidated Statement of Financial Position and Changes in Equity at June 30, 2020 and December 31, 2019. They are prepared in accordance with IAS 34 - Interim Financial Reporting and with generally accepted accounting principles under International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).
The Unaudited Condensed Interim Consolidated Financial Statements do not include all the information and disclosures required in the Consolidated Financial Statements. They should be read in conjunction with the Group’s Consolidated Financial Statements for the year ended December 31, 2019, which were authorized for issue by the Board of Directors on March 9, 2020.
These Unaudited Condensed Interim Consolidated Financial Statements were authorized for issue by management on July 21, 2020.
2.2 Basis of preparation
In accordance with IAS 1 - Presentation of Financial Statements, the Unaudited Condensed Interim Consolidated Financial Statements are prepared on the assumption that Constellium is a going concern and will continue in operation for the foreseeable future.
The Group's financial position, its cash flows, liquidity position and borrowing facilities are described in the Unaudited Condensed Interim Consolidated Financial Statements in NOTE 10 - Cash and Cash Equivalent, NOTE 16 - Borrowings and NOTE 18 - Financial Risk Management.
The Group’s forecasts and projections, taking account of reasonably possible changes in trading performance, including an assessment of the current macroeconomic environment, indicate that the Group should be able to operate within the level of its current facilities and related covenants. Management considers that this assumption is not invalidated by the Group’s negative equity at June 30, 2020.
The accounting policies adopted in the preparation of the Unaudited Condensed Interim Consolidated Financial Statements are consistent with those followed in the preparation of the Group’s Consolidated Financial Statements for the year ended December 31, 2019, except for the application of the effective tax rate in accordance with IAS 34 - Interim Financial Reporting.


F-7


2.3 Application of new and revised IFRS
Several amendments and interpretations apply for the first time in 2020, but do not have any impact on the Unaudited Condensed Interim Consolidated Financial Statements of the Group. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective. The Group plans to adopt the new standards and interpretations on their required effective dates.
2.4 Presentation of the operating performance of each operating segment and of the Group
In accordance with IFRS 8 - Operating Segments, operating segments are based upon the product lines, markets and industries served, and are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker (“CODM”). The CODM, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the Chief Executive Officer.
Constellium’s CODM measures the profitability and financial performance of its operating segments based on Adjusted EBITDA as it illustrates the underlying performance of continuing operations by excluding certain non-recurring and non-operating items. Adjusted EBITDA is defined as income / (loss) from continuing operations before income taxes, results from joint ventures, net finance costs, other expenses and depreciation and amortization as adjusted to exclude restructuring costs, impairment charges, unrealized gains or losses on derivatives and on foreign exchange differences on transactions that do not qualify for hedge accounting, metal price lag, share-based compensation expense, effects of certain purchase accounting adjustments, start-up and development costs or acquisition, integration and separation costs, certain incremental costs and other exceptional, unusual or generally non-recurring items.
2.5 Principles governing the preparation of the Unaudited Condensed Interim Consolidated Financial Statement
The following table summarizes the main exchange rates used for the preparation of the Unaudited Condensed Interim Consolidated Financial Statements:
Foreign exchange rate for 1 Euro
 
 
 
Six months ended
June 30, 2020
 
At June 30,
2020
 
Six months ended
June 30, 2019
 
At December 31,
2019
 
 
 
Average rate
 
Closing rate
 
Average rate
 
Closing rate
U.S. Dollars
 
USD
 
1.1018

 
1.1198

 
1.1297

 
1.1234

Swiss Francs
 
CHF
 
1.0641

 
1.0651

 
1.1294

 
1.0854

Czech Koruna
 
CZK
 
26.2970

 
26.7400

 
25.6842

 
25.4080

Presentation of financial statements
The Unaudited Condensed Interim Consolidated Financial Statements are presented in millions of Euros, except Earnings per share, which is presented in Euros. Certain reclassifications may have been made to prior year amounts to conform to the current year presentation.
2.6 Judgments in applying accounting policies and key sources of estimation uncertainty
The preparation of financial statements requires to make estimates, judgments and assumptions that may affect the reported amounts of assets, liabilities, revenue and expenses and the disclosure of contingent assets and liabilities in the Unaudited Condensed Interim Consolidated Financial Statements. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.  The resulting accounting estimates will, by definition, rarely be equal to the related actual results. Actual results may differ significantly from these estimates, the effect of which is recognized in the period in which the facts that give rise to the revision become known.
In preparing these Unaudited Condensed Interim Consolidated Financial Statements, the significant judgments made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty were those applied to the Consolidated Financial Statements at, and for the year ended December 31, 2019.  The Group reviewed these significant assumptions and estimates in light of the uncertainty associated with the Covid-19 downturn and its potential impact on the global economy and its business. The Group believes that the accounting assumptions and estimates used in the preparation of the Unaudited Condensed Interim Consolidated Financial Statements at and for the period ended June 30, 2020 are appropriate.

F-8


However, there remains considerable uncertainty with respect to the duration of the crisis and its potential impact on the overall economy and our business and there can be no guarantee that our assumptions will materialize or that actual results will not differ materially from estimates.
In addition, in accordance with IAS 34, the Group applied, in the preparation of these Unaudited Condensed Interim Consolidated Financial Statements, a projected tax rate for the full year of 2020.
NOTE 3 - REVENUE
3.1 Disaggregation of revenue
The following table presents our revenue by product line:
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Packaging rolled products
 
456

 
568

 
980

 
1,116

Automotive rolled products
 
88

 
209

 
281

 
439

Specialty and other thin-rolled products
 
20

 
42

 
52

 
90

Aerospace rolled products
 
142

 
224

 
365

 
429

Transportation, Industry and other rolled products
 
105

 
148

 
231

 
310

Automotive extruded products
 
96

 
199

 
295

 
387

Other extruded products
 
124

 
148

 
264

 
303

Total Revenue
 
1,031

 
1,538

 
2,468

 
3,074

The following table presents our revenue by destination of shipment:
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
France
 
67

 
154

 
188

 
306

Germany
 
192

 
339

 
479

 
678

United Kingdom
 
39

 
49

 
108

 
99

Switzerland
 
15

 
18

 
27

 
38

Other Europe
 
201

 
286

 
476

 
555

United States
 
413

 
600

 
974

 
1,164

Canada
 
7

 
9

 
24

 
27

Asia and Other Pacific
 
61

 
68

 
118

 
137

All Other
 
36

 
15

 
74

 
70

Total Revenue
 
1,031

 
1,538

 
2,468

 
3,074

Revenue is recognized at a point in time, except for certain products representing less than 1% of total revenue with no alternative use for which we have a right to payment.

F-9


NOTE 4 - OPERATING SEGMENT INFORMATION
Management has defined Constellium’s operating segments based upon the product lines, markets and industries it serves, and prepares and reports operating segment information to Constellium’s chief operating decision maker (CODM) (see NOTE 2 - Summary of Significant Accounting Policies) on that basis.
4.1 Segment Revenue
 
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
(in millions of Euros)
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination
 
External revenue
P&ARP
 
565

 
(1
)
 
564

 
821

 
(2
)
 
819

 
1,317

 
(4
)
 
1,313

 
1,649

 
(4
)
 
1,645

A&T
 
250

 
(3
)
 
247

 
383

 
(11
)
 
372

 
609

 
(13
)
 
596

 
761

 
(22
)
 
739

AS&I
 
222

 
(2
)
 
220

 
347

 
—

 
347

 
564

 
(5
)
 
559

 
691

 
(1
)
 
690

Holdings & Corporate
 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Total
 
1,037

 
(6
)
 
1,031

 
1,551

 
(13
)
 
1,538

 
2,490

 
(22
)
 
2,468

 
3,101

 
(27
)
 
3,074

4.2 Segment Adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
P&ARP
 
 
 
58

 
79

 
124

 
138

A&T
 
 
 
31

 
64

 
83

 
116

AS&I
 
 
 
(1
)
 
30

 
33

 
59

Holdings & Corporate
 
 
 
(7
)
 
(6
)
 
(12
)
 
(11
)
Adjusted EBITDA
 
 
 
81

 
167

 
228

 
302

Metal price lag (A)
 
 
 
(25
)
 
(13
)
 
(40
)
 
(31
)
Start-up and development costs (B)
 
 
 
(2
)
 
(3
)
 
(4
)
 
(5
)
Bowling Green one-time costs related to the acquisition (C)
 
 
 
—

 
—

 
—

 
(6
)
Share-based compensation costs
 
 
 
(5
)
 
(4
)
 
(8
)
 
(7
)
Losses on pension plan amendments
 
19
 
(2
)
 
—

 
(2
)
 
—

Depreciation, amortization and impairment
 
13,14
 
(71
)
 
(60
)
 
(137
)
 
(117
)
Restructuring costs
 
20
 
(11
)
 
(1
)
 
(11
)
 
(1
)
Unrealized gains / (losses) on derivatives
 
5
 
43

 
(14
)
 
(10
)
 
17

Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities – net
 
5
 
1

 
(1
)
 
(1
)
 
—

Losses on disposals
 
5
 
—

 
(1
)
 
—

 
(2
)
Other (D)
 
 
 
(10
)
 
(1
)
 
(10
)
 
(1
)
(Loss) / income from operations
 
 
 
(1
)
 
69

 
5

 
149

Finance costs - net
 
7
 
(42
)
 
(43
)
 
(87
)
 
(89
)
Share of income of joint-ventures
 
 
 
—

 
—

 
—

 
5

(Loss) / income before income tax
 
 
 
(43
)
 
26

 
(82
)
 
65

Income tax benefit / (expense)
 
8
 
11

 
(9
)
 
19

 
(24
)
Net (loss) / income
 
 
 
(32
)
 
17

 
(63
)
 
41

(A)
Metal price lag represents the financial impact of the timing difference between when aluminium prices included within Constellium Revenues are established and when aluminium purchase prices included in Cost of sales are established. The Group accounts for inventory using a weighted average price basis and this adjustment aims to remove the effect of volatility in LME prices. The calculation of the Group metal price lag adjustment is based on an internal standardized

F-10


methodology calculated at each of Constellium’s manufacturing sites and is primarily calculated as the average value of product recorded in inventory, which approximates the spot price in the market, less the average value transferred out of inventory, which is the weighted average of the metal element of cost of sales, based on the quantity sold in the period.
(B)
For the six months ended June 30, 2020 and 2019 start-up and development costs included €4 million, and €5 million, respectively, related to new projects in our AS&I operating segment.
(C)
For the six months ended June 30, 2019, Bowling Green one-time costs related to the acquisition included the non-cash reversal of the inventory step-up.
(D)
For the six months ended June 30, 2020 , Other includes €5 million of procurement penalties and termination fees incurred because of the Group's inability to fulfill certain commitments due to the Covid-19 downturn and a €5 million loss resulting from the discontinuation of hedge accounting for certain forecasted sales that were determined to be no longer expected to occur in light of the Covid-19 downturn effects.
4.3 Segment capital expenditures
(in millions of Euros)
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
P&ARP
 
(38
)
 
(44
)
A&T
 
(24
)
 
(29
)
AS&I
 
(34
)
 
(56
)
Holdings & Corporate
 
(2
)
 
(1
)
Capital expenditures
 
(98
)
 
(130
)
4.4 Segment assets
Segment assets are comprised of total assets of Constellium by segment, less deferred income tax assets, cash and cash equivalents and other financial assets.
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
P&ARP
 
1,969

 
1,951

A&T
 
818

 
856

AS&I
 
716

 
703

Holdings & Corporate
 
213

 
276

Segment assets
 
3,716

 
3,786

Deferred income tax assets
 
222

 
185

Cash and cash equivalents
 
378

 
184

Other financial assets
 
31

 
29

Total assets
 
4,347

 
4,184


F-11


NOTE 5 - OTHER GAINS / (LOSSES) - NET
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Realized losses on derivatives (A)
 
 
 
(32
)
 
(14
)
 
(44
)
 
(28
)
Losses reclassified from OCI as a result of hedge accounting discontinuation (B)
 
4
 
(5
)
 
—

 
(5
)
 
—

Unrealized gains / (losses) on derivatives at fair value through profit and loss - net (A)
 
4
 
43

 
(14
)
 
(10
)
 
17

Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities - net
 
4
 
1

 
(1
)
 
(1
)
 
—

Losses on pension plan amendments
 
19
 
(2
)
 
—

 
(2
)
 
—

Losses on disposal
 
4
 
—

 
(1
)
 
—

 
(2
)
Other
 
 
 
—

 
—

 
(1
)
 
(1
)
Total other gains / (losses) - net
 
 
 
5

 
(30
)
 
(63
)
 
(14
)
(A)
Realized gains and losses are related to derivatives entered into with the purpose of mitigating exposure to volatility in foreign currencies and commodity prices. Unrealized gains and losses are related to derivatives that do not qualify for hedge accounting.
(B)
In the period ended June 30, 2020, we determined that a portion of the hedged forecasted sales for the second half of 2020 and 2021, to which hedge accounting is applied, was no longer expected to occur. As a result, the fair value of the related derivatives accumulated in equity was reclassified in the Unaudited Interim Consolidated Income Statement and generated a €5 million loss.
NOTE 6 - CURRENCY GAINS / (LOSSES)
Currency gains and losses, which are included in Income from operations, are as follows:
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Included in Revenue
 
18
 
(2
)
 
(1
)
 
(5
)
 
(2
)
Included in Cost of sales
 
 
 
1

 
—

 
1

 
—

Included in Other gains / (losses) - net
 
 
 
(5
)
 
(1
)
 
(6
)
 
4

Total
 
 
 
(6
)
 
(2
)
 
(10
)
 
2

Realized exchange (losses) / gains on foreign currency derivatives - net
 
18
 
(3
)
 
—

 
(3
)
 
1

Losses reclassified from OCI as a result of hedge accounting discontinuation
 
18
 
(5
)
 
—

 
(5
)
 
—

Unrealized (losses) / gains on foreign currency derivatives - net
 
18
 
—

 
(1
)
 
(2
)
 
1

Exchange gains / (losses) from the remeasurement of monetary assets and liabilities - net
 
 
 
2

 
(1
)
 
—

 
—

Total
 
 
 
(6
)
 
(2
)
 
(10
)
 
2

See NOTE 17 - Financial Instruments and NOTE 18 - Financial Risk Management for further information regarding the Company’s foreign currency derivatives and hedging activities.

F-12


NOTE 7 - FINANCE COSTS - NET
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Interest expense on borrowings (A)
 
(30
)
 
(30
)
 
(61
)
 
(62
)
Expenses on factoring arrangements
 
(3
)
 
(5
)
 
(6
)
 
(10
)
Interest expense on leases
 
(2
)
 
(4
)
 
(5
)
 
(7
)
Realized and unrealized (losses) / gains on debt derivatives at fair value (B)
 
(7
)
 
(4
)
 
1

 
5

Realized and unrealized exchange gains / (losses) on financing activities - net (B)
 
8

 
6

 
(3
)
 
—

Interest cost on pension and other benefits
 
(3
)
 
(4
)
 
(6
)
 
(8
)
Other finance expenses
 
(6
)
 
(2
)
 
(8
)
 
(8
)
Capitalized borrowing costs (C)
 
1

 
—

 
1

 
1

Finance expenses
 
(42
)
 
(43
)
 
(87
)
 
(89
)
Finance costs - net
 
(42
)
 
(43
)
 
(87
)
 
(89
)
(A)
For the six months ended June 30, 2020, the Group incurred mainly (i) €57 million of interest related to Constellium SE Senior Notes and (ii) €3 million of interest expense and fees related to the Muscle Shoals, Bowling Green and Ravenswood ABL Facility (“Pan-U.S. ABL”). For the six months ended June 30, 2019, the Group incurred mainly (i) €58 million of interest related to Constellium SE Senior Notes and (ii) €3 million of interest expense and fees related to the Pan-U.S. ABL.
(B)
The Group hedges the dollar exposure relating to the principal of its Constellium SE U.S. Dollar Senior Notes, for the portion that has not been used to finance directly or indirectly U.S. Dollar functional currency entities. Changes in the fair value of these hedging derivatives are recognized within Finance costs – net in the Unaudited Interim Consolidated Income Statement and largely offset the unrealized results related to Constellium SE U.S. Dollar Senior Notes revaluation.
(C)
Borrowing costs directly attributable to the construction of assets are capitalized. The capitalization rate was 6% for the six months ended June 30, 2020 and 2019.
NOTE 8 - INCOME TAX
Income tax benefit / (expense) is recognized based on the best estimate of the weighted average annual income tax rate expected for the full year. The tax rate applied at June 30, 2020 is impacted by non-recurring transactions and subject to country mix effect.
The assessment on net deferred tax assets was reviewed at June 30, 2020 using the same assumptions as the impairment tests in NOTE 13 - Property, Plant and Equipment, and considering changes in tax laws enacted during the six months ended June 30, 2020. This review did not change the assessment made at December 31, 2019.

F-13


NOTE 9 - EARNINGS PER SHARE
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share
 
(33
)
 
16

 
(64
)
 
39

Number of shares attributable to equity holders of Constellium
(number of shares)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Weighted average number of ordinary shares used to calculate basic earnings per share
 
137,901,336

 
136,700,491

 
137,903,307

 
136,344,030

Effect of other dilutive potential ordinary shares (A)
 
—

 
3,620,938

 
—

 
4,005,235

Weighted average number of ordinary shares used to calculate diluted earnings per share
 
137,901,336

 
140,321,429

 
137,903,307

 
140,349,265

(A)
For the six months and three months ended June 30, 2020, there were 4,878,787 and 4,880,758, potential ordinary shares that could have a dilutive impact, but were considered antidilutive due to negative earnings, respectively. For the six months and three months ended June 30, 2019, dilutive potential new ordinary shares to be issued were part of share-based compensation plans.
Earnings per share attributable to the equity holders of Constellium
(in Euro per share)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Basic
 
(0.24
)
 
0.12

 
(0.46
)
 
0.29

Diluted
 
(0.24
)
 
0.11

 
(0.46
)
 
0.28

NOTE 10 - CASH AND CASH EQUIVALENTS
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Cash in bank and on hand
 
378

 
184

Total Cash and cash equivalent
 
378

 
184

At June 30, 2020, cash in bank and on hand includes a total of €22 million held by subsidiaries that operate in countries where capital control restrictions prevent the balances from being immediately available for general use by the other entities within the Group. At December 31, 2019, the amount subject to these restrictions was €22 million.

F-14


NOTE 11 - TRADE RECEIVABLES AND OTHER
Trade receivables and other are comprised of the following:
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Trade receivables - gross
 
—

 
389

 
—

 
395

Impairment
 
—

 
(3
)
 
—

 
(2
)
Total trade receivables - net
 
—

 
386

 
—

 
393

Income tax receivables
 
34

 
9

 
35

 
22

Other taxes
 
—

 
17

 
—

 
35

Contract assets
 
31

 
1

 
16

 
2

Prepaid expenses
 
1

 
20

 
1

 
8

Other
 
8

 
18

 
8

 
14

Total other receivables
 
74

 
65

 
60

 
81

Total trade receivables and other
 
74

 
451

 
60

 
474

11.1 Contract assets
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Unbilled tooling costs
 
14

 
—

 
16

 
—

Other
 
17

 
1

 
—

 
2

Total Contract assets
 
31

 
1

 
16

 
2

11.2 Aging
The aging of total trade receivables - net is as follows:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Not past due
 
369

 
380

1 – 30 days past due
 
15

 
10

31 – 60 days past due
 
2

 
3

61 – 90 days past due
 
—

 
—

Greater than 90 days past due
 
—

 
—

Total trade receivables - net
 
386

 
393

Impairment allowance
Revisions to the impairment allowance arising from changes in estimates are included as either an additional allowance or a reversal. An allowance was recognized for €0.4 million net during the six months ended June 30, 2020 (an allowance of €0.1 million was recognized during the six months ended June 30, 2019).
None of the other amounts included in Other receivables were deemed to be impaired.
The maximum exposure to credit risk at the reporting date is the carrying value of each class of receivable shown above. The Group does not hold any collateral from its customers or debtors as security.

F-15


11.3 Currency concentration
The composition of the carrying amounts of total Trade receivables - net by currency is shown in Euro equivalents as follows:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Euro
 
158

 
126

U.S. Dollar
 
203

 
251

Swiss franc
 
14

 
3

Other currencies
 
11

 
13

Total trade receivables - net
 
386

 
393

11.4 Factoring arrangements
The Group factors trade receivables in France through factoring agreement with a third party for a maximum capacity of €255 million. This agreement matures on December 31, 2023.
The Group factors trade receivables in Germany, Switzerland and Czech Republic through factoring agreements with a third party for a maximum capacity of €150 million. These agreements mature on December 31, 2023. In addition, the Group sells receivables from one of its German customers under an uncommitted factoring facility whereby receivables sold are confirmed by the customer. In addition, Constellium Valais is party to an uncommitted factoring arrangement which provides for the sale of specific customer receivables.
Constellium Automotive USA LLC is party to a factoring agreement which provides for the sale of specific account receivables up to a maximum capacity of $25 million. This agreement matures on December 10, 2020.
Muscle Shoals is party to a factoring agreement that provides for the sale of specific trade receivables up to a maximum capacity of $300 million. This agreement matures on September 30, 2021.
Under the Group’s factoring agreements, most of the trade receivables are sold without recourse. Where the Group has transferred substantially all the risks and rewards of ownership of the receivables, the receivables are derecognized. Some remaining receivables do not qualify for derecognition under IFRS 9 - Financial Instruments, as the Group retains substantially all the associated risks and rewards.
Under the agreements, at June 30, 2020, the total carrying amount of the original assets factored is €506 million (December 31, 2019: €574 million) of which:
•
€390 million (December 31, 2019: €463 million) have been derecognized from the Unaudited Interim Consolidated Statement of Financial Position as the Group transferred substantially all of the associated risks and rewards to the factor;
•
€116 million (December 31, 2019: €111 million) were recognized on the Unaudited Condensed Interim Consolidated Statement of Financial Position.
There was a €7 million debt due to the factors relating to trade account receivables sold at June 30, 2020, and no debt at December 31, 2019.
Covenants
The factoring arrangements contain certain customary affirmative and negative covenants, including some relating to the administration and collection of the assigned receivables, the terms of the invoices and the exchange of information, but do not contain maintenance financial covenants.
The commitment of the factor to buy receivables under the Muscle Shoals factoring agreement is subject to certain credit ratings being maintained.

F-16


The Group was in compliance with all applicable covenants at June 30, 2020 and December 31, 2019.
NOTE 12 - INVENTORIES
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Finished goods
 
194

 
203

Work in progress
 
303

 
321

Raw materials
 
99

 
106

Stores and supplies
 
77

 
74

Inventories write-down
 
(38
)
 
(34
)
Total inventories
 
635

 
670

Constellium records inventories at the lower of cost and net realizable value. Any change in the net realizable value adjustment on inventories is included in Cost of sales in the Unaudited Interim Consolidated Income Statement.
NOTE 13 - PROPERTY, PLANT AND EQUIPMENT
(in millions of Euros)
 
Land and Property Rights
 
Buildings
 
Machinery and Equipment
 
Construction Work in Progress
 
Other
 
Total
Net balance at January 1, 2020
 
19

 
366

 
1,451

 
203

 
17

 
2,056

Additions
 
—

 
9

 
36

 
66

 
1

 
112

Disposals
 
—

 
—

 
(2
)
 
—

 
—

 
(2
)
Depreciation and impairment
 
—

 
(14
)
 
(108
)
 
(5
)
 
(5
)
 
(132
)
Transfer during the year
 
2

 
18

 
52

 
(74
)
 
2

 
—

Effects of changes in foreign exchange rates
 
—

 
(1
)
 
—

 
(2
)
 
—

 
(3
)
Net balance at June 30, 2020
 
21

 
378

 
1,429

 
188

 
15

 
2,031

Cost
 
37

 
552

 
2,488

 
198

 
47

 
3,322

Less accumulated depreciation and impairment
 
(16
)
 
(174
)
 
(1,059
)
 
(10
)
 
(32
)
 
(1,291
)
Net balance at June 30, 2020
 
21

 
378

 
1,429

 
188

 
15

 
2,031

Right of use assets
Right of use have been included within the same line item as that within which the corresponding underlying assets would be presented if they were owned.
(in millions of Euros)
 
Buildings
 
Machinery and Equipment
 
Other
 
Total
Net balance at January 1, 2020
 
116

 
71

 
3

 
190

Additions
 
9

 
10

 
1

 
20

Disposals
 
(1
)
 
—

 
—

 
(1
)
Depreciation
 
(6
)
 
(11
)
 
(1
)
 
(18
)
Effects of changes in foreign exchange rates
 
—

 
(1
)
 
—

 
(1
)
Net balance at June 30, 2020
 
118

 
69

 
3

 
190

Cost
 
142

 
121

 
5

 
268

Less accumulated depreciation and impairment
 
(24
)
 
(52
)
 
(2
)
 
(78
)
Net balance at June 30, 2020
 
118

 
69

 
3

 
190


F-17


The total expense relating to short-term leases, low value asset leases and variable lease payments that are still recognized as operating expenses was €6 million and €7 million for the six months ended June 30, 2020 and 2019, respectively.
Impairment tests for property, plant and equipment and intangibles assets (including goodwill)
The Covid-19 downturn, which resulted in a temporary shutdown of some of our plants and is expected to negatively impact our future operating profits and cash flows, was identified as an indicator of impairment for all of Constellium Cash Generating Units (“CGUs”) and group of CGUs at March 31, 2020.
Consequently, in accordance with the accounting policies described in Note 2.6 of the Consolidated Financial Statements, all our CGUs and group of CGUs to which goodwill is allocated were tested for impairment at March 31, 2020.  For the three months ended June 30, 2020, management reviewed the impairment test assumptions and did not identify any indicator of impairment on any of its CGUs except for Nanjing. As a result of these tests, management concluded that no impairment charge was required on any of its CGUs except for Nanjing.
In performing our impairment tests, the following assumptions were factored in:
•
Operating levels of our plants at 50% of capacity on average during three months in 2020,
•
Significant economic downturn in our automotive and aerospace markets in the period 2020 to 2023,
•
Positive impact of counter-measures implemented or planned, including reductions in capital expenditures and costs.
•
The assessment that our strategy, which is grounded notably in the long term competitive advantage of aluminium and the uniqueness of our assets, remained intact despite the Covid-19 downturn.
In June 2020, the main customer of the Nanjing Automotive Structures plant (China) announced a suspension of its operations and a strategic reorganization. As a result, we tested the asset for impairment and recorded an impairment charge of €5 million for the six months ended June 30, 2020.
NOTE 14 - INTANGIBLE ASSETS (INCLUDING GOODWILL)
(in millions of Euros)
 
Goodwill
 
Technology
 
Computer Software
 
Customer relationships
 
Work in Progress
 
Other
 
Total intangible assets (excluding goodwill)
Net balance at January 1, 2020
 
455

 
21

 
19

 
14

 
14

 
2

 
70

Additions
 
—

 
—

 
—

 
—

 
3

 
—

 
3

Amortization expense
 
—

 
(1
)
 
(4
)
 
—

 
—

 
—

 
(5
)
Transfer during the year
 
—

 
—

 
1

 
—

 
(1
)
 
—

 
—

Effects of changes in foreign exchange rates
 
1

 
—

 
—

 
—

 
—

 
—

 
—

Net balance at June 30, 2020
 
456

 
20

 
16

 
14

 
16

 
2

 
68

Cost
 
456

 
86

 
75

 
40

 
17

 
2

 
220

Less accumulated depreciation and impairment
 
—

 
(66
)
 
(59
)
 
(26
)
 
(1
)
 
—

 
(152
)
Net balance at June 30, 2020
 
456

 
20

 
16

 
14

 
16

 
2

 
68


F-18


NOTE 15 - TRADE PAYABLES AND OTHER
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Trade payables
 
—

 
683

 
—

 
711

Fixed assets payables
 
—

 
29

 
—

 
43

Employees' entitlements
 
—

 
173

 
—

 
171

Taxes payable other than income tax
 
—

 
33

 
—

 
14

Contract liabilities and other liabilities to customers
 
5

 
78

 
6

 
54

Other payables
 
14

 
7

 
15

 
6

Total other
 
19

 
320

 
21

 
288

Total trade payables and other
 
19

 
1,003

 
21

 
999

Contract liabilities
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Deferred tooling revenue
 
2

 
—

 
2

 
—

Advance payment from customers
 
1

 
4

 
2

 
5

Unrecognized variable consideration (A)
 
2

 
57

 
2

 
46

Other
 
—

 
17

 
—

 
3

Total contract liabilities and other liabilities to customers
 
5

 
78

 
6

 
54

(A)
Unrecognized variable consideration consists of expected volume rebates, discounts, incentives, refunds, penalties and price concessions.
For the six months ended June 30, 2020, €14 million of revenue that related to contract liabilities at December 31, 2019 was recognized. Revenue of €25 million generated in the six months ended June 30, 2020 was deferred.

F-19


NOTE 16 - BORROWINGS
16.1 Analysis by nature
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
 
 
Nominal Value in Currency
 
Nominal rate
 
Effective rate
 
Nominal Value In Euros
 
(Arrangement fees)
 
Accrued interests
 
Carrying value
 
Carrying value
Secured Pan-U.S. ABL
(due 2022)
 
$
—

 
Floating

 
3.43
%
 
—

 
—

 
—

 
—

 
127

Secured U.S. DDTL
(due 2022) (A)
 
$
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Secured French Loan
(due 2025) (B)
 
€
180

 
Floating

 
2.50
%
 
180

 
—

 
—

 
180

 
—

Secured Inventory Based Facility (due 2021)
 
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Senior Unsecured Notes
 
 
 
 
 
 
 


 


 


 


 
 
Constellium SE
(Issued May 2014, due 2024)
 
$
400

 
5.75
%
 
6.26
%
 
357

 
(3
)
 
3

 
357

 
355

Constellium SE
(Issued May 2014, due 2021)
 
€
—

 
4.63
%
 
5.16
%
 
—

 
—

 
—

 
—

 
200

Constellium SE
(Issued February 2017, due 2025)
 
$
650

 
6.63
%
 
7.13
%
 
580

 
(9
)
 
13

 
584

 
582

Constellium SE
(Issued November 2017, due 2026)
 
$
500

 
5.88
%
 
6.26
%
 
447

 
(6
)
 
10

 
451

 
449

Constellium SE
(Issued November 2017, due 2026)
 
€
400

 
4.25
%
 
4.57
%
 
400

 
(5
)
 
6

 
401

 
400

Constellium SE
(Issued June 2020, due 2028) (C)
 
$
325

 
5.63
%
 
6.05
%
 
290

 
(6
)
 
—

 
284

 
—

Unsecured Revolving Credit Facility (due 2021) (D)
 
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Unsecured Credit facility Switzerland (due 2025) (E)
 
CHF
20

 
1.18
%
 
1.18
%
 
18

 
—

 
—

 
18

 
—

Lease liabilities
 
 
 
 
 
 
 
190

 
—

 
1

 
191

 
188

Other loans (F)
 
 
 
 
 
 
 
68

 
—

 
2

 
70

 
60

Total Borrowings
 
 
 
 
 
 
 
2,530

 
(29
)
 
35

 
2,536

 
2,361

Of which non-current
 
 
 
 
 
 
 
 
 
 
 
 
 
2,434

 
2,160

Of which current
 
 
 
 
 
 
 
 
 
 
 
 
 
102

 
201

Constellium SE Senior Notes are guaranteed by certain subsidiaries.
(A)
On April 24, 2020, Constellium Muscle Shoals, Constellium Rolled Product Ravenswood, LLC and Constellium Bowling Green amended the Pan-U.S. ABL to include a delay-draw term loan (the “U.S. DDTL”) of $166 million.
(B)
On May 13, 2020, one of our French entities entered into a term facility agreement with a syndicate of banks (the “French Loan”), 80% guaranteed by the French State. The French Loan established a fully committed term loan for an aggregate amount up to €180 million, of which €30 million was provided by Bpifrance Financement, a related party. The French Loan will mature no earlier than May 20, 2021, and the Company has the option to extend it for up to five years.

F-20


(C)
On June 30, 2020, Constellium SE issued $325 million principal amount of the 5.625% Senior Notes due 2028. Deferred arrangement fees amounted to €6 million on the issuance date. A portion of the net proceeds from the issuance were used to repurchase the remaining €200 million of the 4.625% Constellium SE Senior Unsecured Notes issued in May 2014, due 2021.
(D)
The Unsecured Revolving Credit Facility has a €5 million borrowing base and is provided by Bpifrance Financement, a related party.
(E)
On May 22, 2020, Constellium Valais entered into an uncommitted revolving credit facility for an amount of CHF 20 million, 85% guaranteed by the Swiss state. This facility may be terminated by either party at any time.
(F)
Other loans include €38 million of financial liabilities relating to the sale and leaseback of assets that were considered to be financing arrangements in substance.
16.2 Movements in borrowings
(in millions of Euros)
 
Six months ended
June 30, 2020
 
Year ended December 31,2019
At December 31, prior year
 
2,361

 
2,151

IFRS 16 application
 
—

 
102

At January 1
 
2,361

 
2,253

Cash flows
 
 
 
 
Proceeds from issuance of Senior Notes (A)
 
290

 
—

Repayment of Senior Notes (B)
 
(200
)
 
(100
)
Proceeds from French loan
 
180

 
—

Proceeds from Swiss credit facility
 
18

 
—

(Repayments) / proceeds from U.S. revolving credit facility and other loans
 
(124
)
 
109

Payment of deferred financing costs
 
(6
)
 
—

Lease repayments
 
(17
)
 
(86
)
Non-cash changes
 
 
 
 
Borrowings assumed through business combination
 
—

 
75

Movement in interests accrued or capitalized
 
(1
)
 
1

New leases and other loans
 
25

 
75

Deferred arrangement fees and other
 
3

 
5

Effects of changes in foreign exchange rates
 
7

 
29

At the end of the period
 
2,536

 
2,361

(A)
The proceeds from the Senior Notes issued on June 30, 2020 were €290 million, converted at the issuance date exchange rate of EUR/USD=1.1198.
(B)
On June 30, 2020, the remaining €200 million of the 4.625% Senior Notes due 2021 were redeemed. On August 8, 2019, €100 million of the €300 million outstanding aggregate principal amount of the 4.625% Senior Notes due 2021 were redeemed.

F-21


16.3 Currency concentration
The composition of the carrying amounts of total borrowings in Euro equivalents is denominated in the currencies shown below:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
U.S. Dollar
 
1,757

 
1,597

Euro
 
741

 
746

Other currencies
 
38

 
18

Total borrowings
 
2,536

 
2,361

Covenants
The Group was in compliance with all applicable debt covenants at June 30, 2020 and December 31, 2019, and for the six months ended June 30, 2020 and the year ended December 31, 2019.
Constellium SE Senior Notes
The indentures for our outstanding Senior Notes contain customary terms and conditions, including amongst other things, limitations on incurring or guaranteeing additional indebtedness, on paying dividends, on making other restricted payments, on creating restrictions on dividends and other payments to us from certain of our subsidiaries, on incurring certain liens, on selling assets and subsidiary stock, and on merging.
Pan-U.S. ABL Facility
This facility contains a fixed charge coverage ratio covenant and an EBITDA contribution ratio covenant along with customary affirmative and negative covenants. Evaluation of compliance with the maintenance covenants is only required if the excess availability falls below 10% of the aggregate revolving loan commitment.
French Loan
The French loan contains financial covenants that provide that, on semi-annual testing dates beginning June 30, 2021: (i) the net debt leverage shall not exceed a specified ratio and (ii) the interest cover ratio is at least equal to a specified ratio.
The French loan also contains customary terms and conditions, including, among other things, negative covenants, limitation on incurring debt, selling assets, certain corporate transactions and reorganizations, making loans and advances and entering into certain derivative transactions.
NOTE 17 - FINANCIAL INSTRUMENTS
17.1 Financial assets and liabilities by categories
 
 
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Notes
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
Cash and cash equivalents
 
10
 
378

 
—

 
—

 
378

 
184

 
—

 
—

 
184

Trade receivables
 
11
 
—

 
—

 
386

 
386

 
—

 
—

 
393

 
393

Other financial assets
 
 
 
—

 
31

 
—

 
31

 
—

 
29

 
—

 
29

Total
 
 
 
378

 
31

 
386

 
795

 
184

 
29

 
393

 
606


F-22


 
 
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Notes
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
Trade payables and fixed assets payables
 
15
 
712

 
—

 
—

 
712

 
754

 
—

 
—

 
754

Borrowings
 
16
 
2,536

 
—

 
—

 
2,536

 
2,361

 
—

 
—

 
2,361

Other financial liabilities
 
 
 
—

 
61

 
14

 
75

 
—

 
44

 
14

 
58

Total
 
 
 
3,248

 
61

 
14

 
3,323

 
3,115

 
44

 
14

 
3,173

The table below details other financial assets and other financial liabilities positions:
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Total
 
Non-current
 
Current
 
Total
Derivatives
 
9

 
22

 
31

 
7

 
22

 
29

Aluminium and premium future contracts
 
2

 
11

 
13

 
1

 
8

 
9

Energy future contracts
 
—

 
—

 
—

 
—

 
—

 
—

Other future contracts
 
—

 
—

 
—

 
—

 
—

 
—

Currency commercial contracts
 
7

 
10

 
17

 
5

 
12

 
17

Currency net debt derivatives
 
—

 
1

 
1

 
1

 
2

 
3

Other financial assets
 
9

 
22

 
31

 
7

 
22

 
29

Derivatives
 
30

 
45

 
75

 
23

 
35

 
58

Aluminium and premium future contracts
 
9

 
19

 
28

 
4

 
10

 
14

Energy future contracts
 
—

 
—

 
—

 
—

 
1

 
1

Other future contracts
 
1

 
4

 
5

 
2

 
4

 
6

Currency commercial contracts
 
15

 
21

 
36

 
12

 
16

 
28

Currency net debt derivatives
 
5

 
1

 
6

 
5

 
4

 
9

Other financial liabilities
 
30

 
45

 
75

 
23

 
35

 
58

17.2 Fair values
All derivatives are presented at fair value in the Unaudited Condensed Interim Consolidated Statement of Financial Position.
The carrying value of the Group’s borrowings at maturity is the redemption value.
The fair value of Constellium SE Senior Notes issued in May 2014, February 2017, November 2017 and June 2020 account for 100.5%, 101.6%, 99.7% and 99.8% respectively of the nominal value and amount to €359 million, €589 million, €844 million and €289 million respectively, at June 30, 2020. The fair value was classified as a Level 1 measurement under the fair value hierarchy provided by IFRS 13 - Fair Value Measurement.
The fair values of the other financial assets and liabilities approximate their carrying values, as a result of their liquidity or short maturity.
17.3 Valuation hierarchy
The following table provides an analysis of derivatives measured at fair value, grouped into levels based on the degree to which the fair value is observable:
•
Level 1 valuation is based on a quoted price (unadjusted) in active markets for identical financial instruments. Level 1 includes aluminium, copper and zinc futures that are traded on the LME.

F-23


•
Level 2 valuation is based on inputs other than quoted prices included within Level 1 that are observable for the assets or liabilities, either directly (i.e. prices) or indirectly (i.e. derived from prices). Level 2 includes foreign exchange derivatives;
•
Level 3 valuation is based on inputs for the asset or liability that are not based on observable market data (unobservable inputs). Trade receivables are classified as a Level 3 measurement under the fair value hierarchy.
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Other financial assets - derivatives
 
12

 
19

 
—

 
31

 
8

 
21

 
—

 
29

Other financial liabilities - derivatives
 
30

 
45

 
—

 
75

 
19

 
39

 
—

 
58

There was no transfer of asset and liability categories into or out of Level 1, Level 2 or Level 3 during the six months ended June 30, 2020 and the year ended December 31, 2019.
NOTE 18 - FINANCIAL RISK MANAGEMENT
The Group’s financial risk management strategy focuses on minimizing the cash flow impacts of volatility in foreign currency exchange rates, metal prices and interest rates, while maintaining the financial flexibility the Group requires in order to successfully execute the Group’s business strategy.
Due to Constellium’s capital structure and the nature of its operations, the Group is exposed to the following financial risks: (i) market risk (including foreign exchange risk, commodity price risk and interest rate risk); (ii) credit risk and (iii) liquidity and capital management risk.
18.1 Market risk
In 2016, the Group agreed with a major customer for the sale of fabricated metal products in U.S. Dollars to be supplied from a Euro functional currency entity. In line with its hedging policy, the Group entered into significant foreign exchange derivatives which match related highly probable future conversion sales by selling U.S. Dollars against Euros. The Group designated these derivatives for hedge accounting, with total nominal amount of $109 million, at June 30, 2020 ($233 million at December 31, 2019), and maturities from 2020 to 2022. In May 2020, the Group signed a new contract with the same major customer and entered into foreign exchange derivatives that were designated for hedge accounting, with total nominal amount of $255 million at June 30, 2020, maturing from 2022 to 2025.
For hedges that do not qualify for hedge accounting, any mark-to-market movements are recognized in Other gains / (losses) - net.

F-24


The table below details the effect of foreign currency derivatives in the Unaudited Interim Consolidated Income Statement and the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss):
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Derivatives that do not qualify for hedge accounting
 
 
 
 
 
 
 
 
 
 
Included in Other gains / (losses) - net
 
 
 
 
 
 
 
 
 
 
Realized gains on foreign currency derivatives - net
 
6
 
—

 
1

 
2

 
3

Unrealized (losses) / gains on foreign currency derivatives - net (A)
 
6
 
(1
)
 
(1
)
 
(2
)
 
1

Derivatives that qualify for hedge accounting
 
 
 
 
 

 
 
 
 
Included in Revenue
 
 
 
 
 
 
 
 
 
 
Realized losses on foreign currency derivatives - net
 
6
 
(3
)
 
(1
)
 
(5
)
 
(2
)
Unrealized gains on foreign currency derivatives - net
 
6
 
1

 
—

 
—

 
—

Included in Other gains / (losses) - net
 
 
 
 
 
 
 
 
 
 
Losses reclassified from OCI as a result of hedge accounting discontinuation (B)
 
6
 
(5
)
 
—

 
(5
)
 
—

Included in Other comprehensive income / (loss)
 
 
 
 
 
—

 
 
 
 
Unrealized gains / (losses) on foreign currency derivatives - net
 
 
 
2

 
1

 
(6
)
 
(7
)
Gains reclassified from cash flow hedge reserve to the Unaudited Interim Consolidated Income Statement
 
 
 
3

 
1

 
6

 
2

(A)
Gains or losses on the hedging instruments are expected to offset losses or gains on the underlying hedged forecasted sales that will be reflected in future years when these sales are recognized.
(B)
In the period ended June 30, 2020, we determined that a portion of the hedged forecasted sales for the second half of 2020 and 2021, to which hedge accounting is applied, was no longer expected to occur. As a result, the fair value of the related derivatives accumulated in equity was reclassified in the Unaudited Interim Consolidated Income Statement and generated a €5 million loss.
Translation exposures
Foreign exchange impacts related to the translation to Euro of net investments in foreign subsidiaries, and related revenues and expenses are not hedged as the Group operates in these various countries on permanent basis (except as described below).
In June 2018, the Group entered into forward contracts with nominal amount of CHF 174 million to hedge the currency risk associated with the translation of the net assets of its Swiss operations into the Group’s presentation currency. The Group designated these derivatives as a net investment hedge. The loss of the net investment hedge realized in 2019 was included in Currency translation differences within Other comprehensive income for €3 million.
18.3 Liquidity and capital risk management
The liquidity requirements of the overall Company are funded by drawing on available cash and credit facilities, while the internal management of liquidity is optimized by means of cash pooling agreements and/or intercompany loans and deposits between the Company’s operating entities and central Treasury.
At June 30, 2020, the borrowing base was $322 million for the Pan-U.S. ABL, $166 million for the U.S. DDTL , and €78 million for the French Inventory Based Facility. After the deduction of amounts drawn and letters of credit, the Group had €506 million of outstanding availability under these facilities at June 30, 2020.
At December 31, 2019, the borrowing base for the Pan-U.S. ABL and the French Inventory Based Facility were $375 million and €82 million, respectively. After the deduction of amounts drawn and letters of credit, the Group had €281 million of outstanding availability under these facilities at December 31, 2019.

F-25


At June 30, 2020, liquidity was €949 million, comprised of €378 million of cash and cash equivalents and €571 million of available undrawn facilities, including the €506 million described above.
At December 31, 2019, liquidity was €516 million, comprised of €184 million of cash and cash equivalents and €332 million of available undrawn facilities, including the €281 million described above.
NOTE 19 - PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS
19.1 Actuarial assumptions
Pension and other post-employment benefit obligations were updated based on the discount rates applicable at June 30, 2020.
 
 
At June 30,
2020
 
At December 31,
2019
Switzerland
 
0.20%
 
0.15%
US
 
 
 
 
Hourly pension
 
2.70% - 2.85%
 
3.15% - 3.25%
Salaried pension
 
2.75%
 
3.25%
OPEB
 
2.70% - 3.00%
 
3.20% - 3.40%
Other benefits
 
2.45% - 2.75%
 
3.00% - 3.20%
France
 
 
 
 
Retirements
 
0.95%
 
0.95%
Other benefits
 
0.85%
 
0.80%
Germany
 
1.05%
 
1.00%
19.2 Amounts recognized in the Unaudited Interim Consolidated Statement of Financial Position
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Present value of funded obligation
 
789

 
—

 
789

 
768

 
—

 
768

Fair value of plan assets
 
(435
)
 
—

 
(435
)
 
(445
)
 
—

 
(445
)
Deficit of funded plans
 
354

 
—

 
354

 
323

 
—

 
323

Present value of unfunded obligation
 
131

 
230

 
361

 
127

 
220

 
347

Net liability arising from defined benefit obligation
 
485

 
230

 
715

 
450

 
220

 
670

19.3 Amounts recognized in the Unaudited Interim Consolidated Income Statement
 
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Service cost
 
 
 
 
 
 
 
 
 
 
 
 
Current service cost
 
(5
)
 
(1
)
 
(6
)
 
(5
)
 
(1
)
 
(6
)
Past service cost
 
—

 
(2
)
 
(2
)
 
—

 
—

 
—

Net interest
 
(2
)
 
(1
)
 
(3
)
 
(2
)
 
(2
)
 
(4
)
Immediate recognition of gains / (losses) arising over the period
 
—

 
(1
)
 
(1
)
 
—

 
(2
)
 
(2
)
Administration expenses
 
(1
)
 
—

 
(1
)
 
—

 
—

 
—

Total
 
(8
)
 
(5
)
 
(13
)
 
(7
)
 
(5
)
 
(12
)

F-26


 
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Service cost
 
 
 
 
 
 
 
 
 
 
 
 
Current service cost
 
(11
)
 
(3
)
 
(14
)
 
(9
)
 
(3
)
 
(12
)
Past service cost
 
—

 
(2
)
 
(2
)
 
—

 
—

 
—

Net interest
 
(3
)
 
(3
)
 
(6
)
 
(4
)
 
(4
)
 
(8
)
Immediate recognition of gains / (losses) arising over the period
 
—

 
—

 
—

 
—

 
(2
)
 
(2
)
Administration expenses
 
(1
)
 
—

 
(1
)
 
(1
)
 
—

 
(1
)
Total
 
(15
)
 
(8
)
 
(23
)
 
(14
)
 
(9
)
 
(23
)
19.4 Movement in net defined benefit obligations
 
 
At June 30,
2020
 
 
Defined benefit obligations
 
Plan Assets
 
Net defined benefit liability
(in millions of Euros)
 
Pension benefits
 
Other benefits
 
Total
 
At January 1, 2020
 
895

 
220

 
1,115

 
(445
)
 
670

Included in the Unaudited Interim Consolidated Income Statement
 
 
 
 
 
 
 
 
 
 
Current service cost
 
11

 
3

 
14

 
—

 
14

Interest cost / (income)
 
7

 
3

 
10

 
(4
)
 
6

Past service cost
 
—

 
2

 
2

 
—

 
2

Immediate recognition of gains / (losses) arising over the year
 
—

 
—

 
—

 
—

 
—

Administration expenses
 
—

 
—

 
—

 
1

 
1

Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)
 
 
 
 
 
 
 
 
 
 
Remeasurements due to:
 
 
 
 
 
 
 
 
 
 
—actual return less interest on plan assets
 
—

 
—

 
—

 
13

 
13

—changes in financial assumptions
 
16

 
11

 
27

 
—

 
27

—changes in demographic assumptions
 
—

 
—

 
—

 
—

 
—

—experience losses
 
1

 
(1
)
 
—

 
—

 
—

Effects of changes in foreign exchange rates
 
6

 
1

 
7

 
(5
)
 
2

Included in the Unaudited Interim Consolidated Statement of Cash Flows
 
 
 
 
 
 
 
 
 
 
Benefits paid
 
(18
)
 
(9
)
 
(27
)
 
17

 
(10
)
Contributions by the Group
 
—

 
—

 
—

 
(10
)
 
(10
)
Contributions by the plan participants
 
2

 
—

 
2

 
(2
)
 
—

At June 30, 2020
 
920

 
230

 
1,150

 
(435
)
 
715

Ravenswood OPEB disputes
In 2018, the Group announced a plan to transfer certain participants in the Constellium Rolled Products Ravenswood Retiree Medical and Life Insurance Plan (“the Plan”) from a company sponsored program to a third-party health network that provides similar benefits at a lower cost. This change in benefits resulted in the recognition of a gain of €36 million from negative past service cost, which was lowered by €3 million in 2019 and €2 million in the second quarter of 2020, to reflect delays in the estimated implementation timetable. The United Steelworkers Local Union 5668 (the “Union”) is contesting the OPEB Amendments and filed a lawsuit against Constellium Rolled Products Ravenswood, LLC ("Ravenswood") in a federal district court in West Virginia (the “Court”) seeking to enjoin the Plan changes and to compel arbitration. The Court issued an

F-27


order in December 2018, enjoining Ravenswood from implementing the OPEB amendments pending resolution in arbitration. In September 2019, the arbitrator issued a decision ruling against Ravenswood and sustaining the Union’s grievance. Ravenswood filed a motion to vacate this decision, which was denied in June 2020. The Group intends to vigorously defend this case as it believes it has a strong legal position and it is probable that Ravenswood will ultimately prevail and be able to implement the OPEB amendments.
Additionally, during 2019, the Union filed a grievance disputing the existing limitation of Ravenswood’s liability for the healthcare costs of pre-Medicare retirees. This matter is scheduled to be arbitrated in the coming months and the Group believes it is without merit and intends to defend it vigorously.
19.5 Net defined benefit obligations by country
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Defined benefit obligations
 
Plan assets
 
Net defined benefit liability
 
Defined benefit obligations
 
Plan assets
 
Net defined benefit liability
France
 
164

 
(3
)
 
161

 
161

 
(3
)
 
158

Germany
 
140

 
(1
)
 
139

 
144

 
(1
)
 
143

Switzerland
 
303

 
(213
)
 
90

 
299

 
(214
)
 
85

United States
 
542

 
(218
)
 
324

 
510

 
(227
)
 
283

Other countries
 
1

 
—

 
1

 
1

 
—

 
1

Total
 
1,150

 
(435
)
 
715

 
1,115

 
(445
)
 
670

NOTE 20 - PROVISIONS
(in millions of Euros)
 
Notes
 
Close down and environmental remediation costs
 
Restructuring
costs
 
Legal claims
and other costs
 
Total
At January 1, 2020
 
 
 
90

 
4

 
28

 
122

Allowance
 
 
 
—

 
11

 
2

 
13

Amounts used
 
 
 
—

 
(5
)
 
—

 
(5
)
Unused amounts reversed
 
 
 
—

 
—

 
(4
)
 
(4
)
Unwinding of discounts
 
 
 
1

 
—

 
—

 
1

Effects of changes in foreign exchange rates
 
 
 
1

 
—

 
—

 
1

At June 30, 2020
 
 
 
92

 
10

 
26

 
128

Current
 
 
 
7

 
9

 
13

 
29

Non-Current
 
 
 
85

 
1

 
13

 
99

Total Provisions
 
 
 
92

 
10

 
26

 
128

Restructuring costs
For the six months ended June 30, 2020, restructuring costs amounted to €11 million and included mostly allowance of provisions associated with headcount reductions in Europe and in the U.S.






F-28


Legal claims and other costs
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Litigation
 
19

 
21

Disease claims
 
4

 
4

Other
 
3

 
3

Total Provisions for legal claims and other costs
 
26

 
28

Contingencies
The Group is involved, and may become involved, in various lawsuits, claims and proceedings relating to customer claims, product liability, employee and retiree benefit matters and other commercial matters. The Group records provisions for pending litigation matters when it determines that it is probable that an outflow of resources will be required to settle the obligation, and such amounts can be reasonably estimated. In some proceedings, the issues raised are or can be highly complex and subject to significant uncertainties and amounts claimed are and can be substantial. As a result, the probability of loss and an estimation of damages are and can be difficult to ascertain. In exceptional cases, when the Group considers that disclosures relating to provisions and contingencies may prejudice its position, disclosures are limited to the general nature of the dispute.
The Group was subject to an arbitration by a customer claiming that Constellium had supplied defective products as a result of which the customer alleged it had suffered significant damages. The Group considered that this claim was without merit on both technical and legal grounds and believed it was not probable that the claim would result in a loss. This matter was satisfactorily resolved during the three months ended June 30, 2020.
NOTE 21 - NON-CASH INVESTING AND FINANCING TRANSACTIONS
Property, plant and equipment acquired through leases or financed by third parties amounted to €25 million and €33 million for the six months ended June 30, 2020, and 2019, respectively. These leases and financings are excluded from the Unaudited interim Statement of Cash Flow as they are non-cash investing transactions.
The fair value of vested Restricted Stock Units and Performance Stock Units was zero for the six months ended June 30, 2020, and amounted to €4 million for the six months ended June 30, 2019. They are excluded from the Unaudited Interim Statement of Cash Flows as non-cash financing activities.
NOTE 22 - SHARE CAPITAL
At June 30, 2020, the share capital amounted to €2,758,440.64, divided into 137,922,032 ordinary shares, each with a nominal value of two cents, fully paid-up and of the same class. All shares have the right to one vote.
 
 
 
 
(in millions of Euros)
 
 
Number of shares
 
Share capital
 
Share premium
At January 1, 2020
 
137,867,418

 
3

 
420

New shares issued
 
54,614

 
—

 
—

At June 30, 2020
 
137,922,032

 
3

 
420


F-29


NOTE 23 - SHARE-BASED COMPENSATION
Description of plans granted
Performance-Based Restricted Stock Units (equity-settled)
In April 2020, the Company granted Performance Stock Units (PSUs) to selected employees. These units will vest after three years from the grant date if the following conditions are met:
•
A vesting condition under which the beneficiaries must be continuously employed by the Company through the end of the vesting period (3 years); and
•
A performance condition, contingent on the Total Stockholder Return (TSR) performance of Constellium shares over the vesting period compared to the TSR of specified indices. PSUs will ultimately vest based on a vesting multiplier which ranges from 0% to 200%.
The following table lists the inputs to the model used for the PSUs granted in April 2020:
 
 
Six months ended
June 30, 2020
Fair value at grant date (in euros)
 
6.65

Share price at grant date (in euros)
 
4.64

Dividend yield
 
—

Expected volatility (A)
 
63
%
Risk-free interest rate (US government bond yield)
 
0.36
%
Model used
 
Monte Carlo

Restricted Stock Units Award Agreements (equity-settled)
During the six months ended June 30, 2020, the Company granted Restricted Stock Units (RSUs) to a certain number of employees subject to the beneficiaries remaining continuously employed within the Group from the grant date through the end of the vesting period. Vesting period is three years.
The fair value of RSUs awarded under the plan described above is the quoted market price at grant date.
Expense recognized during the year
In accordance with IFRS 2, share-based compensation is recognized as an expense over the vesting period. The estimate of this expense is based upon the fair value of a potential ordinary share at the grant date. The total expense related to the potential ordinary shares amounted to €8 million and €7 million for the six months ended June 30, 2020, and June 30, 2019, respectively.
Movement of potential shares
The following table illustrates the number and movements in potential shares:
 
 
Performance Share Units (PSUs)
 
Restricted Stock Units (RSUs)
 
Equity Award Plans
 
Total Potential Shares
At December 31, 2019
 
2,519,294

 
2,066,503

 
79,526

 
4,665,323

Granted (A)
 
1,049,839

 
910,047

 
—

 
1,959,886

Vested
 
—

 
(8,000
)
 
(46,614
)
 
(54,614
)
Forfeited (B)
 
(46,306
)
 
(50,931
)
 
—

 
(97,237
)
At June 30, 2020
 
3,522,827

 
2,917,619

 
32,912

 
6,473,358


F-30


(A)
For PSUs, the number of potential shares granted is presented using a vesting multiplier of 100%.
(B)
For potential shares related to PSUs, 46,306 were forfeited following the departure of certain beneficiaries and none were forfeited in relation to the non-fulfilment of performance conditions.
NOTE 24 - COVID-19-RELATED GOVERNMENT ASSISTANCE
In the period ended June 30, 2020, the Group received government assistance in various forms, including government-guaranteed facilities in France, Germany, and Switzerland (see NOTE 16 - Borrowings and NOTE 25 - Subsequent Events), as well as subsidies to compensate for the cost of employees furloughed as a result of the Covid-19 downturn in various jurisdictions. These subsidies were recognized where there was reasonable assurance that they would be received and all attached conditions would be complied with. For the six months ended June 30, 2020, Covid-19-related subsidies in the amount of €14 million were accounted for as a deduction of employee costs.
NOTE 25 - SUBSEQUENT EVENTS
On July 15, 2020, Constellium Singen GmbH and Constellium Singen Rolled Products entered into two credit facilities 80% guaranteed by the German State, for a total amount of €50 million.

F-31
v3.20.2
Document and Entity Information
 6 Months Ended
Jun. 30, 2020
Document and entity information [abstract]  
Document Type 6-K
Amendment Flag false
Document Period End Date Jun. 30, 2020
Document Fiscal Year Focus 2020
Document Fiscal Period Focus Q2
Entity Registrant Name Constellium SE
Entity Central Index Key 0001563411
Current Fiscal Year End Date --12-31
v3.20.2
Document and Entity Information Document and Entity Information
 6 Months Ended
Jun. 30, 2020
Document and entity information [abstract]  
Document Type 6-K
Amendment Flag false
Document Period End Date Jun. 30, 2020
Document Fiscal Year Focus 2020
Document Fiscal Period Focus Q2
Entity Registrant Name Constellium SE
Entity Central Index Key 0001563411
Current Fiscal Year End Date --12-31
v3.20.2
UNAUDITED INTERIM CONSOLIDATED INCOME STATEMENT - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Profit or loss [abstract]        
Revenue € 1,031 € 1,538 € 2,468 € 3,074
Cost of sales (962) (1,356) (2,246) (2,748)
Gross profit 69 182 222 326
Selling and administrative expenses (57) (70) (123) (138)
Research and development expenses (7) (12) (20) (24)
Restructuring costs (11) (1) (11) (1)
Other gains / (losses) - net 5 (30) (63) (14)
(Loss) / income from operations (1) 69 5 149
Finance costs - net (42) (43) (87) (89)
Share of income of joint-ventures 0 0 0 5
(Loss) / income before income tax (43) 26 (82) 65
Income tax benefit / (expense) 11 (9) 19 (24)
Net (loss) / income (32) 17 (63) 41
(Loss) / income attributable to:        
Equity holders of Constellium (33) 16 (64) 39
Non-controlling interests 1 1 1 2
Net (loss) / income € (32) € 17 € (63) € 41
Earnings per share attributable to the equity holders of Constellium        
Basic (in EUR per share) € (0.24) € 0.12 € (0.46) € 0.29
Diluted (in EUR per share) € (0.24) € 0.11 € (0.46) € 0.28
v3.20.2
UNAUDITED INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME / (LOSS) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Statement of comprehensive income [abstract]        
Net (loss) / income € (32) € 17 € (63) € 41
Items that will not be reclassified subsequently to the Unaudited Interim Consolidated Income Statement        
Remeasurement on post-employment benefit obligations (35) (34) (41) (62)
Income tax on remeasurement on post-employment benefit obligations 10 8 9 15
Items that may be reclassified subsequently to the Unaudited Interim Consolidated Income Statement        
Cash flow hedges 5 2 0 (5)
Net investment hedges 0 5 0 4
Income tax on hedges (2) 0 0 2
Currency translation differences (2) (6) (2) (1)
Other comprehensive loss (24) (25) (34) (47)
Total comprehensive loss (56) (8) (97) (6)
Attributable to:        
Equity holders of Constellium (57) (9) (98) (8)
Non-controlling interests 1 1 1 2
Total comprehensive loss € (56) € (8) € (97) € (6)
v3.20.2
UNAUDITED INTERIM CONSOLIDATED STATEMENT OF FINANCIAL POSITION - EUR (€)
Jun. 30, 2020
Dec. 31, 2019
Current assets    
Cash and cash equivalents € 378,000,000 € 184,000,000
Trade receivables and other 451,000,000 474,000,000
Inventories 635,000,000 670,000,000
Other financial assets 22,000,000 22,000,000
Total current assets 1,486,000,000 1,350,000,000
Non-current assets    
Property, plant and equipment 2,031,000,000 2,056,000,000
Goodwill 456,000,000 455,000,000
Intangible assets 68,000,000 70,000,000
Investments accounted for under the equity method 1,000,000 1,000,000
Deferred income tax assets 222,000,000 185,000,000
Trade receivables and other 74,000,000 60,000,000
Other financial assets 9,000,000 7,000,000
Total non-current assets 2,861,000,000 2,834,000,000
Total Assets 4,347,000,000 4,184,000,000
Current liabilities    
Trade payables and other 1,003,000,000 999,000,000
Borrowings 102,000,000 201,000,000
Other financial liabilities 45,000,000 35,000,000
Income tax payable 20,000,000 14,000,000
Provisions 29,000,000 23,000,000
Total current liabilities 1,199,000,000 1,272,000,000
Non-current liabilities    
Trade payables and other 19,000,000 21,000,000
Borrowings 2,434,000,000 2,160,000,000
Other financial liabilities 30,000,000 23,000,000
Pension and other post-employment benefit obligations 715,000,000 670,000,000
Provisions 99,000,000 99,000,000
Deferred income tax liabilities 25,000,000 24,000,000
Total non-current liabilities 3,322,000,000 2,997,000,000
Total Liabilities 4,521,000,000 4,269,000,000
Equity    
Share capital 2,758,440.64 3,000,000
Share premium 420,000,000 420,000,000
Retained deficit and other reserves (609,000,000) (519,000,000)
Equity attributable to equity holders of Constellium (186,000,000) (96,000,000)
Non controlling interests 12,000,000 11,000,000
Total Equity (174,000,000) (85,000,000)
Total Equity and Liabilities € 4,347,000,000 € 4,184,000,000
v3.20.2
UNAUDITED INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY - EUR (€)
€ in Millions
Total
Share capital
Share premium
Re-measurement
Cash flow hedges
Foreign currency translation reserve
Other reserves
Retained losses
Total Equity holders of Constellium
Non-controlling interests
Beginning balance at Dec. 31, 2018 € (114) € 3 € 420 € (129) € (8) € 3 € 37 € (448) € (122) € 8
Net (loss) / income 41             39 39 2
Other comprehensive loss (47)     (47) 1 (1)     (47)  
Total comprehensive loss (6)     (47) 1 (1)   39 (8) 2
Share-based compensation 7           7   7  
Transactions with non-controlling interests 0                 0
Ending balance at Jun. 30, 2019 (113) 3 420 (176) (7) 2 44 (409) (123) 10
Beginning balance at Dec. 31, 2018 (114) 3 420 (129) (8) 3 37 (448) (122) 8
Net (loss) / income 64             59 59 5
Other comprehensive loss (49)     (48) (2) 1     (49) 0
Total comprehensive loss 15     (48) (2) 1   59 10 5
Share-based compensation 16           16   16  
Transactions with non-controlling interests (2)                 (2)
Ending balance at Dec. 31, 2019 (85) 3 420 (177) (10) 4 53 (389) (96) 11
Net (loss) / income (63)             (64) (64) 1
Other comprehensive loss (34)     (32) 0 (2)     (34)  
Total comprehensive loss (97)     (32) 0 (2)   (64) (98) 1
Share issuance   0 0              
Share-based compensation 8           8   8  
Transactions with non-controlling interests 0                 0
Ending balance at Jun. 30, 2020 € (174) € 3 € 420 € (209) € (10) € 2 € 61 € (453) € (186) € 12
v3.20.2
UNAUDITED INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS - EUR (€)
€ in Millions
 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Statement of cash flows [abstract]    
Net (loss) / income € (63) € 41
Adjustments    
Depreciation, amortization and impairment 137 117
Finance costs - net 87 89
Tax (benefit) / expense (19) 24
Share of income of joint-ventures 0 (5)
Unrealized losses / (gains) on derivatives - net and from remeasurement of monetary assets and liabilities - net 11 (17)
Losses on disposal 0 2
Other - net 13 6
Interest paid (73) (78)
Income tax paid 18 (11)
Change in trade working capital    
Inventories 35 24
Trade receivables 7 (29)
Trade payables (18) 104
Margin calls 0 5
Change in provisions and pension obligations 2 (15)
Other working capital 15 3
Net cash flows from operating activities 152 260
Purchases of property, plant and equipment (98) (130)
Acquisition of subsidiaries net of cash acquired 0 (83)
Proceeds from disposals, net of cash 1 1
Other investing activities 0 (4)
Net cash flows used in investing activities (97) (216)
Proceeds from issuance of Senior Notes 290 0
Repayment of Senior Notes (200) 0
Proceeds from French loan 180 0
Proceeds from Swiss credit facility 18 0
Lease repayments (17) (70)
(Repayments) / proceeds from U.S. revolving credit facility and other loans (124) 76
Payment of deferred financing costs (9) 0
Transactions with non-controlling interests 0 (2)
Other financing activities 2 0
Net cash flows from financing activities 140 4
Net increase in cash and cash equivalents 195 48
Cash and cash equivalents - beginning of year 184 164
Effect of exchange rate changes on cash and cash equivalents (1) 1
Cash and cash equivalents - end of period € 378 € 213
v3.20.2
GENERAL INFORMATION
 6 Months Ended
Jun. 30, 2020
Disclosure of general information [abstract]  
GENERAL INFORMATION
NOTE 1 - GENERAL INFORMATION
Constellium is a global leader in the design and manufacture of a broad range of innovative specialty rolled and extruded aluminium products, serving primarily the packaging, aerospace and automotive end-markets. The Group has a strategic footprint of manufacturing facilities located in North America, Europe and China and operates 28 production facilities, 3 administrative centers and 3 R&D centers. The Group has approximately 12,400 employees.
Constellium SE, a French Societas Europaea (SE), is the parent company of the Group. The business address (head office) of Constellium SE is Washington Plaza, 40-44 rue Washington, 75008 Paris, France.
Unless the context indicates otherwise, when we refer to “we”, “our”, “us”, “Constellium”, the “Group” and the “Company” in this document, we are referring to Constellium SE and its subsidiaries.
v3.20.2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 6 Months Ended
Jun. 30, 2020
Disclosure of summary of significant accounting policies [abstract]  
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
2.1 Statement of compliance
The Unaudited Condensed Interim Consolidated Financial Statements present the Unaudited Interim Consolidated Income Statement, Statement of Comprehensive Income / (Loss) and Statement of Cash Flows for the six months ended June 30, 2020 and 2019; and the Unaudited Interim Consolidated Statement of Financial Position and Changes in Equity at June 30, 2020 and December 31, 2019. They are prepared in accordance with IAS 34 - Interim Financial Reporting and with generally accepted accounting principles under International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).
The Unaudited Condensed Interim Consolidated Financial Statements do not include all the information and disclosures required in the Consolidated Financial Statements. They should be read in conjunction with the Group’s Consolidated Financial Statements for the year ended December 31, 2019, which were authorized for issue by the Board of Directors on March 9, 2020.
These Unaudited Condensed Interim Consolidated Financial Statements were authorized for issue by management on July 21, 2020.
2.2 Basis of preparation
In accordance with IAS 1 - Presentation of Financial Statements, the Unaudited Condensed Interim Consolidated Financial Statements are prepared on the assumption that Constellium is a going concern and will continue in operation for the foreseeable future.
The Group's financial position, its cash flows, liquidity position and borrowing facilities are described in the Unaudited Condensed Interim Consolidated Financial Statements in NOTE 10 - Cash and Cash Equivalent, NOTE 16 - Borrowings and NOTE 18 - Financial Risk Management.
The Group’s forecasts and projections, taking account of reasonably possible changes in trading performance, including an assessment of the current macroeconomic environment, indicate that the Group should be able to operate within the level of its current facilities and related covenants. Management considers that this assumption is not invalidated by the Group’s negative equity at June 30, 2020.
The accounting policies adopted in the preparation of the Unaudited Condensed Interim Consolidated Financial Statements are consistent with those followed in the preparation of the Group’s Consolidated Financial Statements for the year ended December 31, 2019, except for the application of the effective tax rate in accordance with IAS 34 - Interim Financial Reporting.

2.3 Application of new and revised IFRS
Several amendments and interpretations apply for the first time in 2020, but do not have any impact on the Unaudited Condensed Interim Consolidated Financial Statements of the Group. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective. The Group plans to adopt the new standards and interpretations on their required effective dates.
2.4 Presentation of the operating performance of each operating segment and of the Group
In accordance with IFRS 8 - Operating Segments, operating segments are based upon the product lines, markets and industries served, and are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker (“CODM”). The CODM, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the Chief Executive Officer.
Constellium’s CODM measures the profitability and financial performance of its operating segments based on Adjusted EBITDA as it illustrates the underlying performance of continuing operations by excluding certain non-recurring and non-operating items. Adjusted EBITDA is defined as income / (loss) from continuing operations before income taxes, results from joint ventures, net finance costs, other expenses and depreciation and amortization as adjusted to exclude restructuring costs, impairment charges, unrealized gains or losses on derivatives and on foreign exchange differences on transactions that do not qualify for hedge accounting, metal price lag, share-based compensation expense, effects of certain purchase accounting adjustments, start-up and development costs or acquisition, integration and separation costs, certain incremental costs and other exceptional, unusual or generally non-recurring items.
2.5 Principles governing the preparation of the Unaudited Condensed Interim Consolidated Financial Statement
The following table summarizes the main exchange rates used for the preparation of the Unaudited Condensed Interim Consolidated Financial Statements:
Foreign exchange rate for 1 Euro
 
 
 
Six months ended
June 30, 2020
 
At June 30,
2020
 
Six months ended
June 30, 2019
 
At December 31,
2019
 
 
 
Average rate
 
Closing rate
 
Average rate
 
Closing rate
U.S. Dollars
 
USD
 
1.1018

 
1.1198

 
1.1297

 
1.1234

Swiss Francs
 
CHF
 
1.0641

 
1.0651

 
1.1294

 
1.0854

Czech Koruna
 
CZK
 
26.2970

 
26.7400

 
25.6842

 
25.4080


Presentation of financial statements
The Unaudited Condensed Interim Consolidated Financial Statements are presented in millions of Euros, except Earnings per share, which is presented in Euros. Certain reclassifications may have been made to prior year amounts to conform to the current year presentation.
2.6 Judgments in applying accounting policies and key sources of estimation uncertainty
The preparation of financial statements requires to make estimates, judgments and assumptions that may affect the reported amounts of assets, liabilities, revenue and expenses and the disclosure of contingent assets and liabilities in the Unaudited Condensed Interim Consolidated Financial Statements. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.  The resulting accounting estimates will, by definition, rarely be equal to the related actual results. Actual results may differ significantly from these estimates, the effect of which is recognized in the period in which the facts that give rise to the revision become known.
In preparing these Unaudited Condensed Interim Consolidated Financial Statements, the significant judgments made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty were those applied to the Consolidated Financial Statements at, and for the year ended December 31, 2019.  The Group reviewed these significant assumptions and estimates in light of the uncertainty associated with the Covid-19 downturn and its potential impact on the global economy and its business. The Group believes that the accounting assumptions and estimates used in the preparation of the Unaudited Condensed Interim Consolidated Financial Statements at and for the period ended June 30, 2020 are appropriate. However, there remains considerable uncertainty with respect to the duration of the crisis and its potential impact on the overall economy and our business and there can be no guarantee that our assumptions will materialize or that actual results will not differ materially from estimates.
In addition, in accordance with IAS 34, the Group applied, in the preparation of these Unaudited Condensed Interim Consolidated Financial Statements, a projected tax rate for the full year of 2020.
v3.20.2
REVENUE
 6 Months Ended
Jun. 30, 2020
Revenue [abstract]  
REVENUE
NOTE 3 - REVENUE
3.1 Disaggregation of revenue
The following table presents our revenue by product line:
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Packaging rolled products
 
456

 
568

 
980

 
1,116

Automotive rolled products
 
88

 
209

 
281

 
439

Specialty and other thin-rolled products
 
20

 
42

 
52

 
90

Aerospace rolled products
 
142

 
224

 
365

 
429

Transportation, Industry and other rolled products
 
105

 
148

 
231

 
310

Automotive extruded products
 
96

 
199

 
295

 
387

Other extruded products
 
124

 
148

 
264

 
303

Total Revenue
 
1,031

 
1,538

 
2,468

 
3,074


The following table presents our revenue by destination of shipment:
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
France
 
67

 
154

 
188

 
306

Germany
 
192

 
339

 
479

 
678

United Kingdom
 
39

 
49

 
108

 
99

Switzerland
 
15

 
18

 
27

 
38

Other Europe
 
201

 
286

 
476

 
555

United States
 
413

 
600

 
974

 
1,164

Canada
 
7

 
9

 
24

 
27

Asia and Other Pacific
 
61

 
68

 
118

 
137

All Other
 
36

 
15

 
74

 
70

Total Revenue
 
1,031

 
1,538

 
2,468

 
3,074


Revenue is recognized at a point in time, except for certain products representing less than 1% of total revenue with no alternative use for which we have a right to payment.
v3.20.2
OPERATING SEGMENT INFORMATION
 6 Months Ended
Jun. 30, 2020
Disclosure of operating segments [abstract]  
OPERATING SEGMENT INFORMATION
NOTE 4 - OPERATING SEGMENT INFORMATION
Management has defined Constellium’s operating segments based upon the product lines, markets and industries it serves, and prepares and reports operating segment information to Constellium’s chief operating decision maker (CODM) (see NOTE 2 - Summary of Significant Accounting Policies) on that basis.
4.1 Segment Revenue
 
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
(in millions of Euros)
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination
 
External revenue
P&ARP
 
565

 
(1
)
 
564

 
821

 
(2
)
 
819

 
1,317

 
(4
)
 
1,313

 
1,649

 
(4
)
 
1,645

A&T
 
250

 
(3
)
 
247

 
383

 
(11
)
 
372

 
609

 
(13
)
 
596

 
761

 
(22
)
 
739

AS&I
 
222

 
(2
)
 
220

 
347

 
—

 
347

 
564

 
(5
)
 
559

 
691

 
(1
)
 
690

Holdings & Corporate
 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Total
 
1,037

 
(6
)
 
1,031

 
1,551

 
(13
)
 
1,538

 
2,490

 
(22
)
 
2,468

 
3,101

 
(27
)
 
3,074


4.2 Segment Adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
P&ARP
 
 
 
58

 
79

 
124

 
138

A&T
 
 
 
31

 
64

 
83

 
116

AS&I
 
 
 
(1
)
 
30

 
33

 
59

Holdings & Corporate
 
 
 
(7
)
 
(6
)
 
(12
)
 
(11
)
Adjusted EBITDA
 
 
 
81

 
167

 
228

 
302

Metal price lag (A)
 
 
 
(25
)
 
(13
)
 
(40
)
 
(31
)
Start-up and development costs (B)
 
 
 
(2
)
 
(3
)
 
(4
)
 
(5
)
Bowling Green one-time costs related to the acquisition (C)
 
 
 
—

 
—

 
—

 
(6
)
Share-based compensation costs
 
 
 
(5
)
 
(4
)
 
(8
)
 
(7
)
Losses on pension plan amendments
 
19
 
(2
)
 
—

 
(2
)
 
—

Depreciation, amortization and impairment
 
13,14
 
(71
)
 
(60
)
 
(137
)
 
(117
)
Restructuring costs
 
20
 
(11
)
 
(1
)
 
(11
)
 
(1
)
Unrealized gains / (losses) on derivatives
 
5
 
43

 
(14
)
 
(10
)
 
17

Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities – net
 
5
 
1

 
(1
)
 
(1
)
 
—

Losses on disposals
 
5
 
—

 
(1
)
 
—

 
(2
)
Other (D)
 
 
 
(10
)
 
(1
)
 
(10
)
 
(1
)
(Loss) / income from operations
 
 
 
(1
)
 
69

 
5

 
149

Finance costs - net
 
7
 
(42
)
 
(43
)
 
(87
)
 
(89
)
Share of income of joint-ventures
 
 
 
—

 
—

 
—

 
5

(Loss) / income before income tax
 
 
 
(43
)
 
26

 
(82
)
 
65

Income tax benefit / (expense)
 
8
 
11

 
(9
)
 
19

 
(24
)
Net (loss) / income
 
 
 
(32
)
 
17

 
(63
)
 
41

(A)
Metal price lag represents the financial impact of the timing difference between when aluminium prices included within Constellium Revenues are established and when aluminium purchase prices included in Cost of sales are established. The Group accounts for inventory using a weighted average price basis and this adjustment aims to remove the effect of volatility in LME prices. The calculation of the Group metal price lag adjustment is based on an internal standardized methodology calculated at each of Constellium’s manufacturing sites and is primarily calculated as the average value of product recorded in inventory, which approximates the spot price in the market, less the average value transferred out of inventory, which is the weighted average of the metal element of cost of sales, based on the quantity sold in the period.
(B)
For the six months ended June 30, 2020 and 2019 start-up and development costs included €4 million, and €5 million, respectively, related to new projects in our AS&I operating segment.
(C)
For the six months ended June 30, 2019, Bowling Green one-time costs related to the acquisition included the non-cash reversal of the inventory step-up.
(D)
For the six months ended June 30, 2020 , Other includes €5 million of procurement penalties and termination fees incurred because of the Group's inability to fulfill certain commitments due to the Covid-19 downturn and a €5 million loss resulting from the discontinuation of hedge accounting for certain forecasted sales that were determined to be no longer expected to occur in light of the Covid-19 downturn effects.
4.3 Segment capital expenditures
(in millions of Euros)
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
P&ARP
 
(38
)
 
(44
)
A&T
 
(24
)
 
(29
)
AS&I
 
(34
)
 
(56
)
Holdings & Corporate
 
(2
)
 
(1
)
Capital expenditures
 
(98
)
 
(130
)

4.4 Segment assets
Segment assets are comprised of total assets of Constellium by segment, less deferred income tax assets, cash and cash equivalents and other financial assets.
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
P&ARP
 
1,969

 
1,951

A&T
 
818

 
856

AS&I
 
716

 
703

Holdings & Corporate
 
213

 
276

Segment assets
 
3,716

 
3,786

Deferred income tax assets
 
222

 
185

Cash and cash equivalents
 
378

 
184

Other financial assets
 
31

 
29

Total assets
 
4,347

 
4,184
v3.20.2
OTHER GAINS / (LOSSES)—NET
 6 Months Ended
Jun. 30, 2020
Analysis of income and expense [abstract]  
OTHER GAINS / (LOSSES)—NET
NOTE 5 - OTHER GAINS / (LOSSES) - NET
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Realized losses on derivatives (A)
 
 
 
(32
)
 
(14
)
 
(44
)
 
(28
)
Losses reclassified from OCI as a result of hedge accounting discontinuation (B)
 
4
 
(5
)
 
—

 
(5
)
 
—

Unrealized gains / (losses) on derivatives at fair value through profit and loss - net (A)
 
4
 
43

 
(14
)
 
(10
)
 
17

Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities - net
 
4
 
1

 
(1
)
 
(1
)
 
—

Losses on pension plan amendments
 
19
 
(2
)
 
—

 
(2
)
 
—

Losses on disposal
 
4
 
—

 
(1
)
 
—

 
(2
)
Other
 
 
 
—

 
—

 
(1
)
 
(1
)
Total other gains / (losses) - net
 
 
 
5

 
(30
)
 
(63
)
 
(14
)
(A)
Realized gains and losses are related to derivatives entered into with the purpose of mitigating exposure to volatility in foreign currencies and commodity prices. Unrealized gains and losses are related to derivatives that do not qualify for hedge accounting.
(B)
In the period ended June 30, 2020, we determined that a portion of the hedged forecasted sales for the second half of 2020 and 2021, to which hedge accounting is applied, was no longer expected to occur. As a result, the fair value of the related derivatives accumulated in equity was reclassified in the Unaudited Interim Consolidated Income Statement and generated a €5 million loss.
v3.20.2
CURRENCY GAINS / (LOSSES)
 6 Months Ended
Jun. 30, 2020
Analysis of income and expense [abstract]  
CURRENCY GAINS / (LOSSES)
NOTE 6 - CURRENCY GAINS / (LOSSES)
Currency gains and losses, which are included in Income from operations, are as follows:
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Included in Revenue
 
18
 
(2
)
 
(1
)
 
(5
)
 
(2
)
Included in Cost of sales
 
 
 
1

 
—

 
1

 
—

Included in Other gains / (losses) - net
 
 
 
(5
)
 
(1
)
 
(6
)
 
4

Total
 
 
 
(6
)
 
(2
)
 
(10
)
 
2

Realized exchange (losses) / gains on foreign currency derivatives - net
 
18
 
(3
)
 
—

 
(3
)
 
1

Losses reclassified from OCI as a result of hedge accounting discontinuation
 
18
 
(5
)
 
—

 
(5
)
 
—

Unrealized (losses) / gains on foreign currency derivatives - net
 
18
 
—

 
(1
)
 
(2
)
 
1

Exchange gains / (losses) from the remeasurement of monetary assets and liabilities - net
 
 
 
2

 
(1
)
 
—

 
—

Total
 
 
 
(6
)
 
(2
)
 
(10
)
 
2


See NOTE 17 - Financial Instruments and NOTE 18 - Financial Risk Management for further information regarding the Company’s foreign currency derivatives and hedging activities.
v3.20.2
FINANCE COSTS—NET
 6 Months Ended
Jun. 30, 2020
Analysis of income and expense [abstract]  
FINANCE COSTS—NET
NOTE 7 - FINANCE COSTS - NET
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Interest expense on borrowings (A)
 
(30
)
 
(30
)
 
(61
)
 
(62
)
Expenses on factoring arrangements
 
(3
)
 
(5
)
 
(6
)
 
(10
)
Interest expense on leases
 
(2
)
 
(4
)
 
(5
)
 
(7
)
Realized and unrealized (losses) / gains on debt derivatives at fair value (B)
 
(7
)
 
(4
)
 
1

 
5

Realized and unrealized exchange gains / (losses) on financing activities - net (B)
 
8

 
6

 
(3
)
 
—

Interest cost on pension and other benefits
 
(3
)
 
(4
)
 
(6
)
 
(8
)
Other finance expenses
 
(6
)
 
(2
)
 
(8
)
 
(8
)
Capitalized borrowing costs (C)
 
1

 
—

 
1

 
1

Finance expenses
 
(42
)
 
(43
)
 
(87
)
 
(89
)
Finance costs - net
 
(42
)
 
(43
)
 
(87
)
 
(89
)
(A)
For the six months ended June 30, 2020, the Group incurred mainly (i) €57 million of interest related to Constellium SE Senior Notes and (ii) €3 million of interest expense and fees related to the Muscle Shoals, Bowling Green and Ravenswood ABL Facility (“Pan-U.S. ABL”). For the six months ended June 30, 2019, the Group incurred mainly (i) €58 million of interest related to Constellium SE Senior Notes and (ii) €3 million of interest expense and fees related to the Pan-U.S. ABL.
(B)
The Group hedges the dollar exposure relating to the principal of its Constellium SE U.S. Dollar Senior Notes, for the portion that has not been used to finance directly or indirectly U.S. Dollar functional currency entities. Changes in the fair value of these hedging derivatives are recognized within Finance costs – net in the Unaudited Interim Consolidated Income Statement and largely offset the unrealized results related to Constellium SE U.S. Dollar Senior Notes revaluation.
(C)
Borrowing costs directly attributable to the construction of assets are capitalized. The capitalization rate was 6% for the six months ended June 30, 2020 and 2019.
v3.20.2
INCOME TAX
 6 Months Ended
Jun. 30, 2020
Income Taxes [Abstract]  
INCOME TAX
NOTE 8 - INCOME TAX
Income tax benefit / (expense) is recognized based on the best estimate of the weighted average annual income tax rate expected for the full year. The tax rate applied at June 30, 2020 is impacted by non-recurring transactions and subject to country mix effect.
The assessment on net deferred tax assets was reviewed at June 30, 2020 using the same assumptions as the impairment tests in NOTE 13 - Property, Plant and Equipment, and considering changes in tax laws enacted during the six months ended June 30, 2020. This review did not change the assessment made at December 31, 2019.
v3.20.2
EARNINGS PER SHARE
 6 Months Ended
Jun. 30, 2020
Earnings per share [abstract]  
EARNINGS PER SHARE
NOTE 9 - EARNINGS PER SHARE
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share
 
(33
)
 
16

 
(64
)
 
39

Number of shares attributable to equity holders of Constellium
(number of shares)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Weighted average number of ordinary shares used to calculate basic earnings per share
 
137,901,336

 
136,700,491

 
137,903,307

 
136,344,030

Effect of other dilutive potential ordinary shares (A)
 
—

 
3,620,938

 
—

 
4,005,235

Weighted average number of ordinary shares used to calculate diluted earnings per share
 
137,901,336

 
140,321,429

 
137,903,307

 
140,349,265

(A)
For the six months and three months ended June 30, 2020, there were 4,878,787 and 4,880,758, potential ordinary shares that could have a dilutive impact, but were considered antidilutive due to negative earnings, respectively. For the six months and three months ended June 30, 2019, dilutive potential new ordinary shares to be issued were part of share-based compensation plans.
Earnings per share attributable to the equity holders of Constellium
(in Euro per share)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Basic
 
(0.24
)
 
0.12

 
(0.46
)
 
0.29

Diluted
 
(0.24
)
 
0.11

 
(0.46
)
 
0.28
v3.20.2
CASH AND CASH EQUIVALENTS
 6 Months Ended
Jun. 30, 2020
Cash and cash equivalents [abstract]  
CASH AND CASH EQUIVALENTS
NOTE 10 - CASH AND CASH EQUIVALENTS
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Cash in bank and on hand
 
378

 
184

Total Cash and cash equivalent
 
378

 
184


At June 30, 2020, cash in bank and on hand includes a total of €22 million held by subsidiaries that operate in countries where capital control restrictions prevent the balances from being immediately available for general use by the other entities within the Group. At December 31, 2019, the amount subject to these restrictions was €22 million.
v3.20.2
TRADE RECEIVABLES AND OTHER
 6 Months Ended
Jun. 30, 2020
Trade and other receivables [abstract]  
TRADE RECEIVABLES AND OTHER
NOTE 11 - TRADE RECEIVABLES AND OTHER
Trade receivables and other are comprised of the following:
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Trade receivables - gross
 
—

 
389

 
—

 
395

Impairment
 
—

 
(3
)
 
—

 
(2
)
Total trade receivables - net
 
—

 
386

 
—

 
393

Income tax receivables
 
34

 
9

 
35

 
22

Other taxes
 
—

 
17

 
—

 
35

Contract assets
 
31

 
1

 
16

 
2

Prepaid expenses
 
1

 
20

 
1

 
8

Other
 
8

 
18

 
8

 
14

Total other receivables
 
74

 
65

 
60

 
81

Total trade receivables and other
 
74

 
451

 
60

 
474


11.1 Contract assets
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Unbilled tooling costs
 
14

 
—

 
16

 
—

Other
 
17

 
1

 
—

 
2

Total Contract assets
 
31

 
1

 
16

 
2


11.2 Aging
The aging of total trade receivables - net is as follows:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Not past due
 
369

 
380

1 – 30 days past due
 
15

 
10

31 – 60 days past due
 
2

 
3

61 – 90 days past due
 
—

 
—

Greater than 90 days past due
 
—

 
—

Total trade receivables - net
 
386

 
393


Impairment allowance
Revisions to the impairment allowance arising from changes in estimates are included as either an additional allowance or a reversal. An allowance was recognized for €0.4 million net during the six months ended June 30, 2020 (an allowance of €0.1 million was recognized during the six months ended June 30, 2019).
None of the other amounts included in Other receivables were deemed to be impaired.
The maximum exposure to credit risk at the reporting date is the carrying value of each class of receivable shown above. The Group does not hold any collateral from its customers or debtors as security.
11.3 Currency concentration
The composition of the carrying amounts of total Trade receivables - net by currency is shown in Euro equivalents as follows:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Euro
 
158

 
126

U.S. Dollar
 
203

 
251

Swiss franc
 
14

 
3

Other currencies
 
11

 
13

Total trade receivables - net
 
386

 
393


11.4 Factoring arrangements
The Group factors trade receivables in France through factoring agreement with a third party for a maximum capacity of €255 million. This agreement matures on December 31, 2023.
The Group factors trade receivables in Germany, Switzerland and Czech Republic through factoring agreements with a third party for a maximum capacity of €150 million. These agreements mature on December 31, 2023. In addition, the Group sells receivables from one of its German customers under an uncommitted factoring facility whereby receivables sold are confirmed by the customer. In addition, Constellium Valais is party to an uncommitted factoring arrangement which provides for the sale of specific customer receivables.
Constellium Automotive USA LLC is party to a factoring agreement which provides for the sale of specific account receivables up to a maximum capacity of $25 million. This agreement matures on December 10, 2020.
Muscle Shoals is party to a factoring agreement that provides for the sale of specific trade receivables up to a maximum capacity of $300 million. This agreement matures on September 30, 2021.
Under the Group’s factoring agreements, most of the trade receivables are sold without recourse. Where the Group has transferred substantially all the risks and rewards of ownership of the receivables, the receivables are derecognized. Some remaining receivables do not qualify for derecognition under IFRS 9 - Financial Instruments, as the Group retains substantially all the associated risks and rewards.
Under the agreements, at June 30, 2020, the total carrying amount of the original assets factored is €506 million (December 31, 2019: €574 million) of which:
•
€390 million (December 31, 2019: €463 million) have been derecognized from the Unaudited Interim Consolidated Statement of Financial Position as the Group transferred substantially all of the associated risks and rewards to the factor;
•
€116 million (December 31, 2019: €111 million) were recognized on the Unaudited Condensed Interim Consolidated Statement of Financial Position.
There was a €7 million debt due to the factors relating to trade account receivables sold at June 30, 2020, and no debt at December 31, 2019.
Covenants
The factoring arrangements contain certain customary affirmative and negative covenants, including some relating to the administration and collection of the assigned receivables, the terms of the invoices and the exchange of information, but do not contain maintenance financial covenants.
The commitment of the factor to buy receivables under the Muscle Shoals factoring agreement is subject to certain credit ratings being maintained.
The Group was in compliance with all applicable covenants at June 30, 2020 and December 31, 2019.
v3.20.2
INVENTORIES
 6 Months Ended
Jun. 30, 2020
Subclassifications of assets, liabilities and equities [abstract]  
INVENTORIES
NOTE 12 - INVENTORIES
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Finished goods
 
194

 
203

Work in progress
 
303

 
321

Raw materials
 
99

 
106

Stores and supplies
 
77

 
74

Inventories write-down
 
(38
)
 
(34
)
Total inventories
 
635

 
670


Constellium records inventories at the lower of cost and net realizable value. Any change in the net realizable value adjustment on inventories is included in Cost of sales in the Unaudited Interim Consolidated Income Statement.
v3.20.2
PROPERTY, PLANT AND EQUIPMENT
 6 Months Ended
Jun. 30, 2020
Property, plant and equipment [abstract]  
PROPERTY, PLANT AND EQUIPMENT
NOTE 13 - PROPERTY, PLANT AND EQUIPMENT
(in millions of Euros)
 
Land and Property Rights
 
Buildings
 
Machinery and Equipment
 
Construction Work in Progress
 
Other
 
Total
Net balance at January 1, 2020
 
19

 
366

 
1,451

 
203

 
17

 
2,056

Additions
 
—

 
9

 
36

 
66

 
1

 
112

Disposals
 
—

 
—

 
(2
)
 
—

 
—

 
(2
)
Depreciation and impairment
 
—

 
(14
)
 
(108
)
 
(5
)
 
(5
)
 
(132
)
Transfer during the year
 
2

 
18

 
52

 
(74
)
 
2

 
—

Effects of changes in foreign exchange rates
 
—

 
(1
)
 
—

 
(2
)
 
—

 
(3
)
Net balance at June 30, 2020
 
21

 
378

 
1,429

 
188

 
15

 
2,031

Cost
 
37

 
552

 
2,488

 
198

 
47

 
3,322

Less accumulated depreciation and impairment
 
(16
)
 
(174
)
 
(1,059
)
 
(10
)
 
(32
)
 
(1,291
)
Net balance at June 30, 2020
 
21

 
378

 
1,429

 
188

 
15

 
2,031

Right of use assets
Right of use have been included within the same line item as that within which the corresponding underlying assets would be presented if they were owned.
(in millions of Euros)
 
Buildings
 
Machinery and Equipment
 
Other
 
Total
Net balance at January 1, 2020
 
116

 
71

 
3

 
190

Additions
 
9

 
10

 
1

 
20

Disposals
 
(1
)
 
—

 
—

 
(1
)
Depreciation
 
(6
)
 
(11
)
 
(1
)
 
(18
)
Effects of changes in foreign exchange rates
 
—

 
(1
)
 
—

 
(1
)
Net balance at June 30, 2020
 
118

 
69

 
3

 
190

Cost
 
142

 
121

 
5

 
268

Less accumulated depreciation and impairment
 
(24
)
 
(52
)
 
(2
)
 
(78
)
Net balance at June 30, 2020
 
118

 
69

 
3

 
190

The total expense relating to short-term leases, low value asset leases and variable lease payments that are still recognized as operating expenses was €6 million and €7 million for the six months ended June 30, 2020 and 2019, respectively.
Impairment tests for property, plant and equipment and intangibles assets (including goodwill)
The Covid-19 downturn, which resulted in a temporary shutdown of some of our plants and is expected to negatively impact our future operating profits and cash flows, was identified as an indicator of impairment for all of Constellium Cash Generating Units (“CGUs”) and group of CGUs at March 31, 2020.
Consequently, in accordance with the accounting policies described in Note 2.6 of the Consolidated Financial Statements, all our CGUs and group of CGUs to which goodwill is allocated were tested for impairment at March 31, 2020.  For the three months ended June 30, 2020, management reviewed the impairment test assumptions and did not identify any indicator of impairment on any of its CGUs except for Nanjing. As a result of these tests, management concluded that no impairment charge was required on any of its CGUs except for Nanjing.
In performing our impairment tests, the following assumptions were factored in:
•
Operating levels of our plants at 50% of capacity on average during three months in 2020,
•
Significant economic downturn in our automotive and aerospace markets in the period 2020 to 2023,
•
Positive impact of counter-measures implemented or planned, including reductions in capital expenditures and costs.
•
The assessment that our strategy, which is grounded notably in the long term competitive advantage of aluminium and the uniqueness of our assets, remained intact despite the Covid-19 downturn.
In June 2020, the main customer of the Nanjing Automotive Structures plant (China) announced a suspension of its operations and a strategic reorganization. As a result, we tested the asset for impairment and recorded an impairment charge of €5 million for the six months ended June 30, 2020.
v3.20.2
INTANGIBLE ASSETS (INCLUDING GOODWILL)
 6 Months Ended
Jun. 30, 2020
Intangible assets and goodwill [abstract]  
INTANGIBLE ASSETS (INCLUDING GOODWILL)
NOTE 14 - INTANGIBLE ASSETS (INCLUDING GOODWILL)
(in millions of Euros)
 
Goodwill
 
Technology
 
Computer Software
 
Customer relationships
 
Work in Progress
 
Other
 
Total intangible assets (excluding goodwill)
Net balance at January 1, 2020
 
455

 
21

 
19

 
14

 
14

 
2

 
70

Additions
 
—

 
—

 
—

 
—

 
3

 
—

 
3

Amortization expense
 
—

 
(1
)
 
(4
)
 
—

 
—

 
—

 
(5
)
Transfer during the year
 
—

 
—

 
1

 
—

 
(1
)
 
—

 
—

Effects of changes in foreign exchange rates
 
1

 
—

 
—

 
—

 
—

 
—

 
—

Net balance at June 30, 2020
 
456

 
20

 
16

 
14

 
16

 
2

 
68

Cost
 
456

 
86

 
75

 
40

 
17

 
2

 
220

Less accumulated depreciation and impairment
 
—

 
(66
)
 
(59
)
 
(26
)
 
(1
)
 
—

 
(152
)
Net balance at June 30, 2020
 
456

 
20

 
16

 
14

 
16

 
2

 
68
v3.20.2
TRADE PAYABLES AND OTHER
 6 Months Ended
Jun. 30, 2020
Trade and other payables [abstract]  
TRADE PAYABLES AND OTHER
NOTE 15 - TRADE PAYABLES AND OTHER
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Trade payables
 
—

 
683

 
—

 
711

Fixed assets payables
 
—

 
29

 
—

 
43

Employees' entitlements
 
—

 
173

 
—

 
171

Taxes payable other than income tax
 
—

 
33

 
—

 
14

Contract liabilities and other liabilities to customers
 
5

 
78

 
6

 
54

Other payables
 
14

 
7

 
15

 
6

Total other
 
19

 
320

 
21

 
288

Total trade payables and other
 
19

 
1,003

 
21

 
999


Contract liabilities
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Deferred tooling revenue
 
2

 
—

 
2

 
—

Advance payment from customers
 
1

 
4

 
2

 
5

Unrecognized variable consideration (A)
 
2

 
57

 
2

 
46

Other
 
—

 
17

 
—

 
3

Total contract liabilities and other liabilities to customers
 
5

 
78

 
6

 
54

(A)
Unrecognized variable consideration consists of expected volume rebates, discounts, incentives, refunds, penalties and price concessions.
For the six months ended June 30, 2020, €14 million of revenue that related to contract liabilities at December 31, 2019 was recognized. Revenue of €25 million generated in the six months ended June 30, 2020 was deferred.
v3.20.2
BORROWINGS
 6 Months Ended
Jun. 30, 2020
Borrowings [abstract]  
BORROWINGS
NOTE 16 - BORROWINGS
16.1 Analysis by nature
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
 
 
Nominal Value in Currency
 
Nominal rate
 
Effective rate
 
Nominal Value In Euros
 
(Arrangement fees)
 
Accrued interests
 
Carrying value
 
Carrying value
Secured Pan-U.S. ABL
(due 2022)
 
$
—

 
Floating

 
3.43
%
 
—

 
—

 
—

 
—

 
127

Secured U.S. DDTL
(due 2022) (A)
 
$
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Secured French Loan
(due 2025) (B)
 
€
180

 
Floating

 
2.50
%
 
180

 
—

 
—

 
180

 
—

Secured Inventory Based Facility (due 2021)
 
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Senior Unsecured Notes
 
 
 
 
 
 
 


 


 


 


 
 
Constellium SE
(Issued May 2014, due 2024)
 
$
400

 
5.75
%
 
6.26
%
 
357

 
(3
)
 
3

 
357

 
355

Constellium SE
(Issued May 2014, due 2021)
 
€
—

 
4.63
%
 
5.16
%
 
—

 
—

 
—

 
—

 
200

Constellium SE
(Issued February 2017, due 2025)
 
$
650

 
6.63
%
 
7.13
%
 
580

 
(9
)
 
13

 
584

 
582

Constellium SE
(Issued November 2017, due 2026)
 
$
500

 
5.88
%
 
6.26
%
 
447

 
(6
)
 
10

 
451

 
449

Constellium SE
(Issued November 2017, due 2026)
 
€
400

 
4.25
%
 
4.57
%
 
400

 
(5
)
 
6

 
401

 
400

Constellium SE
(Issued June 2020, due 2028) (C)
 
$
325

 
5.63
%
 
6.05
%
 
290

 
(6
)
 
—

 
284

 
—

Unsecured Revolving Credit Facility (due 2021) (D)
 
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Unsecured Credit facility Switzerland (due 2025) (E)
 
CHF
20

 
1.18
%
 
1.18
%
 
18

 
—

 
—

 
18

 
—

Lease liabilities
 
 
 
 
 
 
 
190

 
—

 
1

 
191

 
188

Other loans (F)
 
 
 
 
 
 
 
68

 
—

 
2

 
70

 
60

Total Borrowings
 
 
 
 
 
 
 
2,530

 
(29
)
 
35

 
2,536

 
2,361

Of which non-current
 
 
 
 
 
 
 
 
 
 
 
 
 
2,434

 
2,160

Of which current
 
 
 
 
 
 
 
 
 
 
 
 
 
102

 
201

Constellium SE Senior Notes are guaranteed by certain subsidiaries.
(A)
On April 24, 2020, Constellium Muscle Shoals, Constellium Rolled Product Ravenswood, LLC and Constellium Bowling Green amended the Pan-U.S. ABL to include a delay-draw term loan (the “U.S. DDTL”) of $166 million.
(B)
On May 13, 2020, one of our French entities entered into a term facility agreement with a syndicate of banks (the “French Loan”), 80% guaranteed by the French State. The French Loan established a fully committed term loan for an aggregate amount up to €180 million, of which €30 million was provided by Bpifrance Financement, a related party. The French Loan will mature no earlier than May 20, 2021, and the Company has the option to extend it for up to five years.
(C)
On June 30, 2020, Constellium SE issued $325 million principal amount of the 5.625% Senior Notes due 2028. Deferred arrangement fees amounted to €6 million on the issuance date. A portion of the net proceeds from the issuance were used to repurchase the remaining €200 million of the 4.625% Constellium SE Senior Unsecured Notes issued in May 2014, due 2021.
(D)
The Unsecured Revolving Credit Facility has a €5 million borrowing base and is provided by Bpifrance Financement, a related party.
(E)
On May 22, 2020, Constellium Valais entered into an uncommitted revolving credit facility for an amount of CHF 20 million, 85% guaranteed by the Swiss state. This facility may be terminated by either party at any time.
(F)
Other loans include €38 million of financial liabilities relating to the sale and leaseback of assets that were considered to be financing arrangements in substance.
16.2 Movements in borrowings
(in millions of Euros)
 
Six months ended
June 30, 2020
 
Year ended December 31,2019
At December 31, prior year
 
2,361

 
2,151

IFRS 16 application
 
—

 
102

At January 1
 
2,361

 
2,253

Cash flows
 
 
 
 
Proceeds from issuance of Senior Notes (A)
 
290

 
—

Repayment of Senior Notes (B)
 
(200
)
 
(100
)
Proceeds from French loan
 
180

 
—

Proceeds from Swiss credit facility
 
18

 
—

(Repayments) / proceeds from U.S. revolving credit facility and other loans
 
(124
)
 
109

Payment of deferred financing costs
 
(6
)
 
—

Lease repayments
 
(17
)
 
(86
)
Non-cash changes
 
 
 
 
Borrowings assumed through business combination
 
—

 
75

Movement in interests accrued or capitalized
 
(1
)
 
1

New leases and other loans
 
25

 
75

Deferred arrangement fees and other
 
3

 
5

Effects of changes in foreign exchange rates
 
7

 
29

At the end of the period
 
2,536

 
2,361

(A)
The proceeds from the Senior Notes issued on June 30, 2020 were €290 million, converted at the issuance date exchange rate of EUR/USD=1.1198.
(B)
On June 30, 2020, the remaining €200 million of the 4.625% Senior Notes due 2021 were redeemed. On August 8, 2019, €100 million of the €300 million outstanding aggregate principal amount of the 4.625% Senior Notes due 2021 were redeemed.
16.3 Currency concentration
The composition of the carrying amounts of total borrowings in Euro equivalents is denominated in the currencies shown below:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
U.S. Dollar
 
1,757

 
1,597

Euro
 
741

 
746

Other currencies
 
38

 
18

Total borrowings
 
2,536

 
2,361


Covenants
The Group was in compliance with all applicable debt covenants at June 30, 2020 and December 31, 2019, and for the six months ended June 30, 2020 and the year ended December 31, 2019.
Constellium SE Senior Notes
The indentures for our outstanding Senior Notes contain customary terms and conditions, including amongst other things, limitations on incurring or guaranteeing additional indebtedness, on paying dividends, on making other restricted payments, on creating restrictions on dividends and other payments to us from certain of our subsidiaries, on incurring certain liens, on selling assets and subsidiary stock, and on merging.
Pan-U.S. ABL Facility
This facility contains a fixed charge coverage ratio covenant and an EBITDA contribution ratio covenant along with customary affirmative and negative covenants. Evaluation of compliance with the maintenance covenants is only required if the excess availability falls below 10% of the aggregate revolving loan commitment.
French Loan
The French loan contains financial covenants that provide that, on semi-annual testing dates beginning June 30, 2021: (i) the net debt leverage shall not exceed a specified ratio and (ii) the interest cover ratio is at least equal to a specified ratio.
The French loan also contains customary terms and conditions, including, among other things, negative covenants, limitation on incurring debt, selling assets, certain corporate transactions and reorganizations, making loans and advances and entering into certain derivative transactions.
v3.20.2
FINANCIAL INSTRUMENTS
 6 Months Ended
Jun. 30, 2020
Disclosure of detailed information about financial instruments [abstract]  
FINANCIAL INSTRUMENTS
NOTE 17 - FINANCIAL INSTRUMENTS
17.1 Financial assets and liabilities by categories
 
 
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Notes
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
Cash and cash equivalents
 
10
 
378

 
—

 
—

 
378

 
184

 
—

 
—

 
184

Trade receivables
 
11
 
—

 
—

 
386

 
386

 
—

 
—

 
393

 
393

Other financial assets
 
 
 
—

 
31

 
—

 
31

 
—

 
29

 
—

 
29

Total
 
 
 
378

 
31

 
386

 
795

 
184

 
29

 
393

 
606

 
 
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Notes
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
Trade payables and fixed assets payables
 
15
 
712

 
—

 
—

 
712

 
754

 
—

 
—

 
754

Borrowings
 
16
 
2,536

 
—

 
—

 
2,536

 
2,361

 
—

 
—

 
2,361

Other financial liabilities
 
 
 
—

 
61

 
14

 
75

 
—

 
44

 
14

 
58

Total
 
 
 
3,248

 
61

 
14

 
3,323

 
3,115

 
44

 
14

 
3,173


The table below details other financial assets and other financial liabilities positions:
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Total
 
Non-current
 
Current
 
Total
Derivatives
 
9

 
22

 
31

 
7

 
22

 
29

Aluminium and premium future contracts
 
2

 
11

 
13

 
1

 
8

 
9

Energy future contracts
 
—

 
—

 
—

 
—

 
—

 
—

Other future contracts
 
—

 
—

 
—

 
—

 
—

 
—

Currency commercial contracts
 
7

 
10

 
17

 
5

 
12

 
17

Currency net debt derivatives
 
—

 
1

 
1

 
1

 
2

 
3

Other financial assets
 
9

 
22

 
31

 
7

 
22

 
29

Derivatives
 
30

 
45

 
75

 
23

 
35

 
58

Aluminium and premium future contracts
 
9

 
19

 
28

 
4

 
10

 
14

Energy future contracts
 
—

 
—

 
—

 
—

 
1

 
1

Other future contracts
 
1

 
4

 
5

 
2

 
4

 
6

Currency commercial contracts
 
15

 
21

 
36

 
12

 
16

 
28

Currency net debt derivatives
 
5

 
1

 
6

 
5

 
4

 
9

Other financial liabilities
 
30

 
45

 
75

 
23

 
35

 
58


17.2 Fair values
All derivatives are presented at fair value in the Unaudited Condensed Interim Consolidated Statement of Financial Position.
The carrying value of the Group’s borrowings at maturity is the redemption value.
The fair value of Constellium SE Senior Notes issued in May 2014, February 2017, November 2017 and June 2020 account for 100.5%, 101.6%, 99.7% and 99.8% respectively of the nominal value and amount to €359 million, €589 million, €844 million and €289 million respectively, at June 30, 2020. The fair value was classified as a Level 1 measurement under the fair value hierarchy provided by IFRS 13 - Fair Value Measurement.
The fair values of the other financial assets and liabilities approximate their carrying values, as a result of their liquidity or short maturity.
17.3 Valuation hierarchy
The following table provides an analysis of derivatives measured at fair value, grouped into levels based on the degree to which the fair value is observable:
•
Level 1 valuation is based on a quoted price (unadjusted) in active markets for identical financial instruments. Level 1 includes aluminium, copper and zinc futures that are traded on the LME.
•
Level 2 valuation is based on inputs other than quoted prices included within Level 1 that are observable for the assets or liabilities, either directly (i.e. prices) or indirectly (i.e. derived from prices). Level 2 includes foreign exchange derivatives;
•
Level 3 valuation is based on inputs for the asset or liability that are not based on observable market data (unobservable inputs). Trade receivables are classified as a Level 3 measurement under the fair value hierarchy.
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Other financial assets - derivatives
 
12

 
19

 
—

 
31

 
8

 
21

 
—

 
29

Other financial liabilities - derivatives
 
30

 
45

 
—

 
75

 
19

 
39

 
—

 
58


There was no transfer of asset and liability categories into or out of Level 1, Level 2 or Level 3 during the six months ended June 30, 2020 and the year ended December 31, 2019.
v3.20.2
FINANCIAL RISK MANAGEMENT
 6 Months Ended
Jun. 30, 2020
Disclosure of financial risk management [Abstract]  
FINANCIAL RISK MANAGEMENT
NOTE 18 - FINANCIAL RISK MANAGEMENT
The Group’s financial risk management strategy focuses on minimizing the cash flow impacts of volatility in foreign currency exchange rates, metal prices and interest rates, while maintaining the financial flexibility the Group requires in order to successfully execute the Group’s business strategy.
Due to Constellium’s capital structure and the nature of its operations, the Group is exposed to the following financial risks: (i) market risk (including foreign exchange risk, commodity price risk and interest rate risk); (ii) credit risk and (iii) liquidity and capital management risk.
18.1 Market risk
In 2016, the Group agreed with a major customer for the sale of fabricated metal products in U.S. Dollars to be supplied from a Euro functional currency entity. In line with its hedging policy, the Group entered into significant foreign exchange derivatives which match related highly probable future conversion sales by selling U.S. Dollars against Euros. The Group designated these derivatives for hedge accounting, with total nominal amount of $109 million, at June 30, 2020 ($233 million at December 31, 2019), and maturities from 2020 to 2022. In May 2020, the Group signed a new contract with the same major customer and entered into foreign exchange derivatives that were designated for hedge accounting, with total nominal amount of $255 million at June 30, 2020, maturing from 2022 to 2025.
For hedges that do not qualify for hedge accounting, any mark-to-market movements are recognized in Other gains / (losses) - net.
The table below details the effect of foreign currency derivatives in the Unaudited Interim Consolidated Income Statement and the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss):
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Derivatives that do not qualify for hedge accounting
 
 
 
 
 
 
 
 
 
 
Included in Other gains / (losses) - net
 
 
 
 
 
 
 
 
 
 
Realized gains on foreign currency derivatives - net
 
6
 
—

 
1

 
2

 
3

Unrealized (losses) / gains on foreign currency derivatives - net (A)
 
6
 
(1
)
 
(1
)
 
(2
)
 
1

Derivatives that qualify for hedge accounting
 
 
 
 
 

 
 
 
 
Included in Revenue
 
 
 
 
 
 
 
 
 
 
Realized losses on foreign currency derivatives - net
 
6
 
(3
)
 
(1
)
 
(5
)
 
(2
)
Unrealized gains on foreign currency derivatives - net
 
6
 
1

 
—

 
—

 
—

Included in Other gains / (losses) - net
 
 
 
 
 
 
 
 
 
 
Losses reclassified from OCI as a result of hedge accounting discontinuation (B)
 
6
 
(5
)
 
—

 
(5
)
 
—

Included in Other comprehensive income / (loss)
 
 
 
 
 
—

 
 
 
 
Unrealized gains / (losses) on foreign currency derivatives - net
 
 
 
2

 
1

 
(6
)
 
(7
)
Gains reclassified from cash flow hedge reserve to the Unaudited Interim Consolidated Income Statement
 
 
 
3

 
1

 
6

 
2

(A)
Gains or losses on the hedging instruments are expected to offset losses or gains on the underlying hedged forecasted sales that will be reflected in future years when these sales are recognized.
(B)
In the period ended June 30, 2020, we determined that a portion of the hedged forecasted sales for the second half of 2020 and 2021, to which hedge accounting is applied, was no longer expected to occur. As a result, the fair value of the related derivatives accumulated in equity was reclassified in the Unaudited Interim Consolidated Income Statement and generated a €5 million loss.
Translation exposures
Foreign exchange impacts related to the translation to Euro of net investments in foreign subsidiaries, and related revenues and expenses are not hedged as the Group operates in these various countries on permanent basis (except as described below).
In June 2018, the Group entered into forward contracts with nominal amount of CHF 174 million to hedge the currency risk associated with the translation of the net assets of its Swiss operations into the Group’s presentation currency. The Group designated these derivatives as a net investment hedge. The loss of the net investment hedge realized in 2019 was included in Currency translation differences within Other comprehensive income for €3 million.
18.3 Liquidity and capital risk management
The liquidity requirements of the overall Company are funded by drawing on available cash and credit facilities, while the internal management of liquidity is optimized by means of cash pooling agreements and/or intercompany loans and deposits between the Company’s operating entities and central Treasury.
At June 30, 2020, the borrowing base was $322 million for the Pan-U.S. ABL, $166 million for the U.S. DDTL , and €78 million for the French Inventory Based Facility. After the deduction of amounts drawn and letters of credit, the Group had €506 million of outstanding availability under these facilities at June 30, 2020.
At December 31, 2019, the borrowing base for the Pan-U.S. ABL and the French Inventory Based Facility were $375 million and €82 million, respectively. After the deduction of amounts drawn and letters of credit, the Group had €281 million of outstanding availability under these facilities at December 31, 2019.
At June 30, 2020, liquidity was €949 million, comprised of €378 million of cash and cash equivalents and €571 million of available undrawn facilities, including the €506 million described above.
At December 31, 2019, liquidity was €516 million, comprised of €184 million of cash and cash equivalents and €332 million of available undrawn facilities, including the €281 million described above.
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS
 6 Months Ended
Jun. 30, 2020
Disclosure of employee benefits [Abstract]  
PENSION AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS
NOTE 19 - PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS
19.1 Actuarial assumptions
Pension and other post-employment benefit obligations were updated based on the discount rates applicable at June 30, 2020.
 
 
At June 30,
2020
 
At December 31,
2019
Switzerland
 
0.20%
 
0.15%
US
 
 
 
 
Hourly pension
 
2.70% - 2.85%
 
3.15% - 3.25%
Salaried pension
 
2.75%
 
3.25%
OPEB
 
2.70% - 3.00%
 
3.20% - 3.40%
Other benefits
 
2.45% - 2.75%
 
3.00% - 3.20%
France
 
 
 
 
Retirements
 
0.95%
 
0.95%
Other benefits
 
0.85%
 
0.80%
Germany
 
1.05%
 
1.00%

19.2 Amounts recognized in the Unaudited Interim Consolidated Statement of Financial Position
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Present value of funded obligation
 
789

 
—

 
789

 
768

 
—

 
768

Fair value of plan assets
 
(435
)
 
—

 
(435
)
 
(445
)
 
—

 
(445
)
Deficit of funded plans
 
354

 
—

 
354

 
323

 
—

 
323

Present value of unfunded obligation
 
131

 
230

 
361

 
127

 
220

 
347

Net liability arising from defined benefit obligation
 
485

 
230

 
715

 
450

 
220

 
670


19.3 Amounts recognized in the Unaudited Interim Consolidated Income Statement
 
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Service cost
 
 
 
 
 
 
 
 
 
 
 
 
Current service cost
 
(5
)
 
(1
)
 
(6
)
 
(5
)
 
(1
)
 
(6
)
Past service cost
 
—

 
(2
)
 
(2
)
 
—

 
—

 
—

Net interest
 
(2
)
 
(1
)
 
(3
)
 
(2
)
 
(2
)
 
(4
)
Immediate recognition of gains / (losses) arising over the period
 
—

 
(1
)
 
(1
)
 
—

 
(2
)
 
(2
)
Administration expenses
 
(1
)
 
—

 
(1
)
 
—

 
—

 
—

Total
 
(8
)
 
(5
)
 
(13
)
 
(7
)
 
(5
)
 
(12
)

 
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Service cost
 
 
 
 
 
 
 
 
 
 
 
 
Current service cost
 
(11
)
 
(3
)
 
(14
)
 
(9
)
 
(3
)
 
(12
)
Past service cost
 
—

 
(2
)
 
(2
)
 
—

 
—

 
—

Net interest
 
(3
)
 
(3
)
 
(6
)
 
(4
)
 
(4
)
 
(8
)
Immediate recognition of gains / (losses) arising over the period
 
—

 
—

 
—

 
—

 
(2
)
 
(2
)
Administration expenses
 
(1
)
 
—

 
(1
)
 
(1
)
 
—

 
(1
)
Total
 
(15
)
 
(8
)
 
(23
)
 
(14
)
 
(9
)
 
(23
)

19.4 Movement in net defined benefit obligations
 
 
At June 30,
2020
 
 
Defined benefit obligations
 
Plan Assets
 
Net defined benefit liability
(in millions of Euros)
 
Pension benefits
 
Other benefits
 
Total
 
At January 1, 2020
 
895

 
220

 
1,115

 
(445
)
 
670

Included in the Unaudited Interim Consolidated Income Statement
 
 
 
 
 
 
 
 
 
 
Current service cost
 
11

 
3

 
14

 
—

 
14

Interest cost / (income)
 
7

 
3

 
10

 
(4
)
 
6

Past service cost
 
—

 
2

 
2

 
—

 
2

Immediate recognition of gains / (losses) arising over the year
 
—

 
—

 
—

 
—

 
—

Administration expenses
 
—

 
—

 
—

 
1

 
1

Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)
 
 
 
 
 
 
 
 
 
 
Remeasurements due to:
 
 
 
 
 
 
 
 
 
 
—actual return less interest on plan assets
 
—

 
—

 
—

 
13

 
13

—changes in financial assumptions
 
16

 
11

 
27

 
—

 
27

—changes in demographic assumptions
 
—

 
—

 
—

 
—

 
—

—experience losses
 
1

 
(1
)
 
—

 
—

 
—

Effects of changes in foreign exchange rates
 
6

 
1

 
7

 
(5
)
 
2

Included in the Unaudited Interim Consolidated Statement of Cash Flows
 
 
 
 
 
 
 
 
 
 
Benefits paid
 
(18
)
 
(9
)
 
(27
)
 
17

 
(10
)
Contributions by the Group
 
—

 
—

 
—

 
(10
)
 
(10
)
Contributions by the plan participants
 
2

 
—

 
2

 
(2
)
 
—

At June 30, 2020
 
920

 
230

 
1,150

 
(435
)
 
715


Ravenswood OPEB disputes
In 2018, the Group announced a plan to transfer certain participants in the Constellium Rolled Products Ravenswood Retiree Medical and Life Insurance Plan (“the Plan”) from a company sponsored program to a third-party health network that provides similar benefits at a lower cost. This change in benefits resulted in the recognition of a gain of €36 million from negative past service cost, which was lowered by €3 million in 2019 and €2 million in the second quarter of 2020, to reflect delays in the estimated implementation timetable. The United Steelworkers Local Union 5668 (the “Union”) is contesting the OPEB Amendments and filed a lawsuit against Constellium Rolled Products Ravenswood, LLC ("Ravenswood") in a federal district court in West Virginia (the “Court”) seeking to enjoin the Plan changes and to compel arbitration. The Court issued an order in December 2018, enjoining Ravenswood from implementing the OPEB amendments pending resolution in arbitration. In September 2019, the arbitrator issued a decision ruling against Ravenswood and sustaining the Union’s grievance. Ravenswood filed a motion to vacate this decision, which was denied in June 2020. The Group intends to vigorously defend this case as it believes it has a strong legal position and it is probable that Ravenswood will ultimately prevail and be able to implement the OPEB amendments.
Additionally, during 2019, the Union filed a grievance disputing the existing limitation of Ravenswood’s liability for the healthcare costs of pre-Medicare retirees. This matter is scheduled to be arbitrated in the coming months and the Group believes it is without merit and intends to defend it vigorously.
19.5 Net defined benefit obligations by country
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Defined benefit obligations
 
Plan assets
 
Net defined benefit liability
 
Defined benefit obligations
 
Plan assets
 
Net defined benefit liability
France
 
164

 
(3
)
 
161

 
161

 
(3
)
 
158

Germany
 
140

 
(1
)
 
139

 
144

 
(1
)
 
143

Switzerland
 
303

 
(213
)
 
90

 
299

 
(214
)
 
85

United States
 
542

 
(218
)
 
324

 
510

 
(227
)
 
283

Other countries
 
1

 
—

 
1

 
1

 
—

 
1

Total
 
1,150

 
(435
)
 
715

 
1,115

 
(445
)
 
670
v3.20.2
PROVISIONS
 6 Months Ended
Jun. 30, 2020
Disclosure of other provisions [abstract]  
PROVISIONS
NOTE 20 - PROVISIONS
(in millions of Euros)
 
Notes
 
Close down and environmental remediation costs
 
Restructuring
costs
 
Legal claims
and other costs
 
Total
At January 1, 2020
 
 
 
90

 
4

 
28

 
122

Allowance
 
 
 
—

 
11

 
2

 
13

Amounts used
 
 
 
—

 
(5
)
 
—

 
(5
)
Unused amounts reversed
 
 
 
—

 
—

 
(4
)
 
(4
)
Unwinding of discounts
 
 
 
1

 
—

 
—

 
1

Effects of changes in foreign exchange rates
 
 
 
1

 
—

 
—

 
1

At June 30, 2020
 
 
 
92

 
10

 
26

 
128

Current
 
 
 
7

 
9

 
13

 
29

Non-Current
 
 
 
85

 
1

 
13

 
99

Total Provisions
 
 
 
92

 
10

 
26

 
128


Restructuring costs
For the six months ended June 30, 2020, restructuring costs amounted to €11 million and included mostly allowance of provisions associated with headcount reductions in Europe and in the U.S.





Legal claims and other costs
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Litigation
 
19

 
21

Disease claims
 
4

 
4

Other
 
3

 
3

Total Provisions for legal claims and other costs
 
26

 
28

Contingencies
The Group is involved, and may become involved, in various lawsuits, claims and proceedings relating to customer claims, product liability, employee and retiree benefit matters and other commercial matters. The Group records provisions for pending litigation matters when it determines that it is probable that an outflow of resources will be required to settle the obligation, and such amounts can be reasonably estimated. In some proceedings, the issues raised are or can be highly complex and subject to significant uncertainties and amounts claimed are and can be substantial. As a result, the probability of loss and an estimation of damages are and can be difficult to ascertain. In exceptional cases, when the Group considers that disclosures relating to provisions and contingencies may prejudice its position, disclosures are limited to the general nature of the dispute.
The Group was subject to an arbitration by a customer claiming that Constellium had supplied defective products as a result of which the customer alleged it had suffered significant damages. The Group considered that this claim was without merit on both technical and legal grounds and believed it was not probable that the claim would result in a loss. This matter was satisfactorily resolved during the three months ended June 30, 2020.
v3.20.2
NON-CASH INVESTING AND FINANCING TRANSACTIONS
 6 Months Ended
Jun. 30, 2020
Disclosure of cash flow statement [Abstract]  
NON-CASH INVESTING AND FINANCING TRANSACTIONS
NOTE 21 - NON-CASH INVESTING AND FINANCING TRANSACTIONS
Property, plant and equipment acquired through leases or financed by third parties amounted to €25 million and €33 million for the six months ended June 30, 2020, and 2019, respectively. These leases and financings are excluded from the Unaudited interim Statement of Cash Flow as they are non-cash investing transactions.
The fair value of vested Restricted Stock Units and Performance Stock Units was zero for the six months ended June 30, 2020, and amounted to €4 million for the six months ended June 30, 2019. They are excluded from the Unaudited Interim Statement of Cash Flows as non-cash financing activities.
v3.20.2
SHARE CAPITAL
 6 Months Ended
Jun. 30, 2020
Disclosure of share capital, reserves and other equity interest [Abstract]  
SHARE CAPITAL
NOTE 22 - SHARE CAPITAL
At June 30, 2020, the share capital amounted to €2,758,440.64, divided into 137,922,032 ordinary shares, each with a nominal value of two cents, fully paid-up and of the same class. All shares have the right to one vote.
 
 
 
 
(in millions of Euros)
 
 
Number of shares
 
Share capital
 
Share premium
At January 1, 2020
 
137,867,418

 
3

 
420

New shares issued
 
54,614

 
—

 
—

At June 30, 2020
 
137,922,032

 
3

 
420
v3.20.2
SHARE-BASED COMPENSATION
 6 Months Ended
Jun. 30, 2020
Share-based payment arrangements [Abstract]  
SHARE-BASED COMPENSATION
NOTE 23 - SHARE-BASED COMPENSATION
Description of plans granted
Performance-Based Restricted Stock Units (equity-settled)
In April 2020, the Company granted Performance Stock Units (PSUs) to selected employees. These units will vest after three years from the grant date if the following conditions are met:
•
A vesting condition under which the beneficiaries must be continuously employed by the Company through the end of the vesting period (3 years); and
•
A performance condition, contingent on the Total Stockholder Return (TSR) performance of Constellium shares over the vesting period compared to the TSR of specified indices. PSUs will ultimately vest based on a vesting multiplier which ranges from 0% to 200%.
The following table lists the inputs to the model used for the PSUs granted in April 2020:
 
 
Six months ended
June 30, 2020
Fair value at grant date (in euros)
 
6.65

Share price at grant date (in euros)
 
4.64

Dividend yield
 
—

Expected volatility (A)
 
63
%
Risk-free interest rate (US government bond yield)
 
0.36
%
Model used
 
Monte Carlo


Restricted Stock Units Award Agreements (equity-settled)
During the six months ended June 30, 2020, the Company granted Restricted Stock Units (RSUs) to a certain number of employees subject to the beneficiaries remaining continuously employed within the Group from the grant date through the end of the vesting period. Vesting period is three years.
The fair value of RSUs awarded under the plan described above is the quoted market price at grant date.
Expense recognized during the year
In accordance with IFRS 2, share-based compensation is recognized as an expense over the vesting period. The estimate of this expense is based upon the fair value of a potential ordinary share at the grant date. The total expense related to the potential ordinary shares amounted to €8 million and €7 million for the six months ended June 30, 2020, and June 30, 2019, respectively.
Movement of potential shares
The following table illustrates the number and movements in potential shares:
 
 
Performance Share Units (PSUs)
 
Restricted Stock Units (RSUs)
 
Equity Award Plans
 
Total Potential Shares
At December 31, 2019
 
2,519,294

 
2,066,503

 
79,526

 
4,665,323

Granted (A)
 
1,049,839

 
910,047

 
—

 
1,959,886

Vested
 
—

 
(8,000
)
 
(46,614
)
 
(54,614
)
Forfeited (B)
 
(46,306
)
 
(50,931
)
 
—

 
(97,237
)
At June 30, 2020
 
3,522,827

 
2,917,619

 
32,912

 
6,473,358

(A)
For PSUs, the number of potential shares granted is presented using a vesting multiplier of 100%.
(B)
For potential shares related to PSUs, 46,306 were forfeited following the departure of certain beneficiaries and none were forfeited in relation to the non-fulfilment of performance conditions.
v3.20.2
COVID-19-RELATED GOVERNMENT ASSISTANCE
 6 Months Ended
Jun. 30, 2020
Government Assistance [Abstract]  
COVID-19-RELATED GOVERNMENT ASSISTANCE
NOTE 24 - COVID-19-RELATED GOVERNMENT ASSISTANCE
In the period ended June 30, 2020, the Group received government assistance in various forms, including government-guaranteed facilities in France, Germany, and Switzerland (see NOTE 16 - Borrowings and NOTE 25 - Subsequent Events), as well as subsidies to compensate for the cost of employees furloughed as a result of the Covid-19 downturn in various jurisdictions. These subsidies were recognized where there was reasonable assurance that they would be received and all attached conditions would be complied with. For the six months ended June 30, 2020, Covid-19-related subsidies in the amount of €14 million were accounted for as a deduction of employee costs.
v3.20.2
SUBSEQUENT EVENTS
 6 Months Ended
Jun. 30, 2020
Disclosure of non-adjusting events after reporting period [abstract]  
SUBSEQUENT EVENTS
NOTE 25 - SUBSEQUENT EVENTS
On July 15, 2020, Constellium Singen GmbH and Constellium Singen Rolled Products entered into two credit facilities 80% guaranteed by the German State, for a total amount of €50 million.
v3.20.2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)
 6 Months Ended
Jun. 30, 2020
Disclosure of summary of significant accounting policies [abstract]  
Statement of compliance
Statement of compliance
The Unaudited Condensed Interim Consolidated Financial Statements present the Unaudited Interim Consolidated Income Statement, Statement of Comprehensive Income / (Loss) and Statement of Cash Flows for the six months ended June 30, 2020 and 2019; and the Unaudited Interim Consolidated Statement of Financial Position and Changes in Equity at June 30, 2020 and December 31, 2019. They are prepared in accordance with IAS 34 - Interim Financial Reporting and with generally accepted accounting principles under International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).
The Unaudited Condensed Interim Consolidated Financial Statements do not include all the information and disclosures required in the Consolidated Financial Statements. They should be read in conjunction with the Group’s Consolidated Financial Statements for the year ended December 31, 2019, which were authorized for issue by the Board of Directors on March 9, 2020.
These Unaudited Condensed Interim Consolidated Financial Statements were authorized for issue by management on July 21, 2020.
Basis of preparation
Basis of preparation
In accordance with IAS 1 - Presentation of Financial Statements, the Unaudited Condensed Interim Consolidated Financial Statements are prepared on the assumption that Constellium is a going concern and will continue in operation for the foreseeable future.
The Group's financial position, its cash flows, liquidity position and borrowing facilities are described in the Unaudited Condensed Interim Consolidated Financial Statements in NOTE 10 - Cash and Cash Equivalent, NOTE 16 - Borrowings and NOTE 18 - Financial Risk Management.
The Group’s forecasts and projections, taking account of reasonably possible changes in trading performance, including an assessment of the current macroeconomic environment, indicate that the Group should be able to operate within the level of its current facilities and related covenants. Management considers that this assumption is not invalidated by the Group’s negative equity at June 30, 2020.
The accounting policies adopted in the preparation of the Unaudited Condensed Interim Consolidated Financial Statements are consistent with those followed in the preparation of the Group’s Consolidated Financial Statements for the year ended December 31, 2019, except for the application of the effective tax rate in accordance with IAS 34 - Interim Financial Reporting.
Application of new and revised IFRS
Application of new and revised IFRS
Several amendments and interpretations apply for the first time in 2020, but do not have any impact on the Unaudited Condensed Interim Consolidated Financial Statements of the Group. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective. The Group plans to adopt the new standards and interpretations on their required effective dates.
Presentation of the operating performance of each operating segment and of the Group
Presentation of the operating performance of each operating segment and of the Group
In accordance with IFRS 8 - Operating Segments, operating segments are based upon the product lines, markets and industries served, and are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker (“CODM”). The CODM, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the Chief Executive Officer.
Constellium’s CODM measures the profitability and financial performance of its operating segments based on Adjusted EBITDA as it illustrates the underlying performance of continuing operations by excluding certain non-recurring and non-operating items. Adjusted EBITDA is defined as income / (loss) from continuing operations before income taxes, results from joint ventures, net finance costs, other expenses and depreciation and amortization as adjusted to exclude restructuring costs, impairment charges, unrealized gains or losses on derivatives and on foreign exchange differences on transactions that do not qualify for hedge accounting, metal price lag, share-based compensation expense, effects of certain purchase accounting adjustments, start-up and development costs or acquisition, integration and separation costs, certain incremental costs and other exceptional, unusual or generally non-recurring items.
Presentation of financial statements
Presentation of financial statements
The Unaudited Condensed Interim Consolidated Financial Statements are presented in millions of Euros, except Earnings per share, which is presented in Euros. Certain reclassifications may have been made to prior year amounts to conform to the current year presentation.
Judgments in applying accounting policies and key sources of estimation uncertainty
Judgments in applying accounting policies and key sources of estimation uncertainty
The preparation of financial statements requires to make estimates, judgments and assumptions that may affect the reported amounts of assets, liabilities, revenue and expenses and the disclosure of contingent assets and liabilities in the Unaudited Condensed Interim Consolidated Financial Statements. Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.  The resulting accounting estimates will, by definition, rarely be equal to the related actual results. Actual results may differ significantly from these estimates, the effect of which is recognized in the period in which the facts that give rise to the revision become known.
In preparing these Unaudited Condensed Interim Consolidated Financial Statements, the significant judgments made by management in applying the Group’s accounting policies and the key sources of estimation uncertainty were those applied to the Consolidated Financial Statements at, and for the year ended December 31, 2019.  The Group reviewed these significant assumptions and estimates in light of the uncertainty associated with the Covid-19 downturn and its potential impact on the global economy and its business. The Group believes that the accounting assumptions and estimates used in the preparation of the Unaudited Condensed Interim Consolidated Financial Statements at and for the period ended June 30, 2020 are appropriate. However, there remains considerable uncertainty with respect to the duration of the crisis and its potential impact on the overall economy and our business and there can be no guarantee that our assumptions will materialize or that actual results will not differ materially from estimates.
In addition, in accordance with IAS 34, the Group applied, in the preparation of these Unaudited Condensed Interim Consolidated Financial Statements, a projected tax rate for the full year of 2020.
v3.20.2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
 6 Months Ended
Jun. 30, 2020
Disclosure of summary of significant accounting policies [abstract]  
Schedule of Main Exchange Rates Used for Preparation of Financial Statements
The following table summarizes the main exchange rates used for the preparation of the Unaudited Condensed Interim Consolidated Financial Statements:
Foreign exchange rate for 1 Euro
 
 
 
Six months ended
June 30, 2020
 
At June 30,
2020
 
Six months ended
June 30, 2019
 
At December 31,
2019
 
 
 
Average rate
 
Closing rate
 
Average rate
 
Closing rate
U.S. Dollars
 
USD
 
1.1018

 
1.1198

 
1.1297

 
1.1234

Swiss Francs
 
CHF
 
1.0641

 
1.0651

 
1.1294

 
1.0854

Czech Koruna
 
CZK
 
26.2970

 
26.7400

 
25.6842

 
25.4080
v3.20.2
REVENUE (Tables)
 6 Months Ended
Jun. 30, 2020
Revenue [abstract]  
Schedule of Disaggregation Revenue
The following table presents our revenue by product line:
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Packaging rolled products
 
456

 
568

 
980

 
1,116

Automotive rolled products
 
88

 
209

 
281

 
439

Specialty and other thin-rolled products
 
20

 
42

 
52

 
90

Aerospace rolled products
 
142

 
224

 
365

 
429

Transportation, Industry and other rolled products
 
105

 
148

 
231

 
310

Automotive extruded products
 
96

 
199

 
295

 
387

Other extruded products
 
124

 
148

 
264

 
303

Total Revenue
 
1,031

 
1,538

 
2,468

 
3,074


The following table presents our revenue by destination of shipment:
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
France
 
67

 
154

 
188

 
306

Germany
 
192

 
339

 
479

 
678

United Kingdom
 
39

 
49

 
108

 
99

Switzerland
 
15

 
18

 
27

 
38

Other Europe
 
201

 
286

 
476

 
555

United States
 
413

 
600

 
974

 
1,164

Canada
 
7

 
9

 
24

 
27

Asia and Other Pacific
 
61

 
68

 
118

 
137

All Other
 
36

 
15

 
74

 
70

Total Revenue
 
1,031

 
1,538

 
2,468

 
3,074
v3.20.2
OPERATING SEGMENT INFORMATION (Tables)
 6 Months Ended
Jun. 30, 2020
Disclosure of operating segments [abstract]  
Schedule of Segment Revenue
 
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
(in millions of Euros)
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination

 
External revenue
 
Segment revenue
 
Inter-segment elimination
 
External revenue
P&ARP
 
565

 
(1
)
 
564

 
821

 
(2
)
 
819

 
1,317

 
(4
)
 
1,313

 
1,649

 
(4
)
 
1,645

A&T
 
250

 
(3
)
 
247

 
383

 
(11
)
 
372

 
609

 
(13
)
 
596

 
761

 
(22
)
 
739

AS&I
 
222

 
(2
)
 
220

 
347

 
—

 
347

 
564

 
(5
)
 
559

 
691

 
(1
)
 
690

Holdings & Corporate
 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

 
—

Total
 
1,037

 
(6
)
 
1,031

 
1,551

 
(13
)
 
1,538

 
2,490

 
(22
)
 
2,468

 
3,101

 
(27
)
 
3,074
Schedule of Segment Adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
P&ARP
 
 
 
58

 
79

 
124

 
138

A&T
 
 
 
31

 
64

 
83

 
116

AS&I
 
 
 
(1
)
 
30

 
33

 
59

Holdings & Corporate
 
 
 
(7
)
 
(6
)
 
(12
)
 
(11
)
Adjusted EBITDA
 
 
 
81

 
167

 
228

 
302

Metal price lag (A)
 
 
 
(25
)
 
(13
)
 
(40
)
 
(31
)
Start-up and development costs (B)
 
 
 
(2
)
 
(3
)
 
(4
)
 
(5
)
Bowling Green one-time costs related to the acquisition (C)
 
 
 
—

 
—

 
—

 
(6
)
Share-based compensation costs
 
 
 
(5
)
 
(4
)
 
(8
)
 
(7
)
Losses on pension plan amendments
 
19
 
(2
)
 
—

 
(2
)
 
—

Depreciation, amortization and impairment
 
13,14
 
(71
)
 
(60
)
 
(137
)
 
(117
)
Restructuring costs
 
20
 
(11
)
 
(1
)
 
(11
)
 
(1
)
Unrealized gains / (losses) on derivatives
 
5
 
43

 
(14
)
 
(10
)
 
17

Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities – net
 
5
 
1

 
(1
)
 
(1
)
 
—

Losses on disposals
 
5
 
—

 
(1
)
 
—

 
(2
)
Other (D)
 
 
 
(10
)
 
(1
)
 
(10
)
 
(1
)
(Loss) / income from operations
 
 
 
(1
)
 
69

 
5

 
149

Finance costs - net
 
7
 
(42
)
 
(43
)
 
(87
)
 
(89
)
Share of income of joint-ventures
 
 
 
—

 
—

 
—

 
5

(Loss) / income before income tax
 
 
 
(43
)
 
26

 
(82
)
 
65

Income tax benefit / (expense)
 
8
 
11

 
(9
)
 
19

 
(24
)
Net (loss) / income
 
 
 
(32
)
 
17

 
(63
)
 
41

(A)
Metal price lag represents the financial impact of the timing difference between when aluminium prices included within Constellium Revenues are established and when aluminium purchase prices included in Cost of sales are established. The Group accounts for inventory using a weighted average price basis and this adjustment aims to remove the effect of volatility in LME prices. The calculation of the Group metal price lag adjustment is based on an internal standardized methodology calculated at each of Constellium’s manufacturing sites and is primarily calculated as the average value of product recorded in inventory, which approximates the spot price in the market, less the average value transferred out of inventory, which is the weighted average of the metal element of cost of sales, based on the quantity sold in the period.
(B)
For the six months ended June 30, 2020 and 2019 start-up and development costs included €4 million, and €5 million, respectively, related to new projects in our AS&I operating segment.
(C)
For the six months ended June 30, 2019, Bowling Green one-time costs related to the acquisition included the non-cash reversal of the inventory step-up.
(D)
For the six months ended June 30, 2020 , Other includes €5 million of procurement penalties and termination fees incurred because of the Group's inability to fulfill certain commitments due to the Covid-19 downturn and a €5 million loss resulting from the discontinuation of hedge accounting for certain forecasted sales that were determined to be no longer expected to occur in light of the Covid-19 downturn effects.
Schedule of Segment Capital Expenditures
(in millions of Euros)
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
P&ARP
 
(38
)
 
(44
)
A&T
 
(24
)
 
(29
)
AS&I
 
(34
)
 
(56
)
Holdings & Corporate
 
(2
)
 
(1
)
Capital expenditures
 
(98
)
 
(130
)
Schedule of Segment Assets
Segment assets are comprised of total assets of Constellium by segment, less deferred income tax assets, cash and cash equivalents and other financial assets.
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
P&ARP
 
1,969

 
1,951

A&T
 
818

 
856

AS&I
 
716

 
703

Holdings & Corporate
 
213

 
276

Segment assets
 
3,716

 
3,786

Deferred income tax assets
 
222

 
185

Cash and cash equivalents
 
378

 
184

Other financial assets
 
31

 
29

Total assets
 
4,347

 
4,184
v3.20.2
OTHER GAINS / (LOSSES)—NET (Tables)
 6 Months Ended
Jun. 30, 2020
Analysis of income and expense [abstract]  
Schedule of Other Gains / (Losses)—Net
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Realized losses on derivatives (A)
 
 
 
(32
)
 
(14
)
 
(44
)
 
(28
)
Losses reclassified from OCI as a result of hedge accounting discontinuation (B)
 
4
 
(5
)
 
—

 
(5
)
 
—

Unrealized gains / (losses) on derivatives at fair value through profit and loss - net (A)
 
4
 
43

 
(14
)
 
(10
)
 
17

Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities - net
 
4
 
1

 
(1
)
 
(1
)
 
—

Losses on pension plan amendments
 
19
 
(2
)
 
—

 
(2
)
 
—

Losses on disposal
 
4
 
—

 
(1
)
 
—

 
(2
)
Other
 
 
 
—

 
—

 
(1
)
 
(1
)
Total other gains / (losses) - net
 
 
 
5

 
(30
)
 
(63
)
 
(14
)
(A)
Realized gains and losses are related to derivatives entered into with the purpose of mitigating exposure to volatility in foreign currencies and commodity prices. Unrealized gains and losses are related to derivatives that do not qualify for hedge accounting.
(B)
In the period ended June 30, 2020, we determined that a portion of the hedged forecasted sales for the second half of 2020 and 2021, to which hedge accounting is applied, was no longer expected to occur. As a result, the fair value of the related derivatives accumulated in equity was reclassified in the Unaudited Interim Consolidated Income Statement and generated a €5 million loss.
v3.20.2
CURRENCY GAINS / (LOSSES) (Tables)
 6 Months Ended
Jun. 30, 2020
Analysis of income and expense [abstract]  
Schedule of Currency Gains and Losses Included in Income from Operations
Currency gains and losses, which are included in Income from operations, are as follows:
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Included in Revenue
 
18
 
(2
)
 
(1
)
 
(5
)
 
(2
)
Included in Cost of sales
 
 
 
1

 
—

 
1

 
—

Included in Other gains / (losses) - net
 
 
 
(5
)
 
(1
)
 
(6
)
 
4

Total
 
 
 
(6
)
 
(2
)
 
(10
)
 
2

Realized exchange (losses) / gains on foreign currency derivatives - net
 
18
 
(3
)
 
—

 
(3
)
 
1

Losses reclassified from OCI as a result of hedge accounting discontinuation
 
18
 
(5
)
 
—

 
(5
)
 
—

Unrealized (losses) / gains on foreign currency derivatives - net
 
18
 
—

 
(1
)
 
(2
)
 
1

Exchange gains / (losses) from the remeasurement of monetary assets and liabilities - net
 
 
 
2

 
(1
)
 
—

 
—

Total
 
 
 
(6
)
 
(2
)
 
(10
)
 
2
v3.20.2
FINANCE COSTS—NET (Tables)
 6 Months Ended
Jun. 30, 2020
Analysis of income and expense [abstract]  
Schedule of Finance Costs—Net
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Interest expense on borrowings (A)
 
(30
)
 
(30
)
 
(61
)
 
(62
)
Expenses on factoring arrangements
 
(3
)
 
(5
)
 
(6
)
 
(10
)
Interest expense on leases
 
(2
)
 
(4
)
 
(5
)
 
(7
)
Realized and unrealized (losses) / gains on debt derivatives at fair value (B)
 
(7
)
 
(4
)
 
1

 
5

Realized and unrealized exchange gains / (losses) on financing activities - net (B)
 
8

 
6

 
(3
)
 
—

Interest cost on pension and other benefits
 
(3
)
 
(4
)
 
(6
)
 
(8
)
Other finance expenses
 
(6
)
 
(2
)
 
(8
)
 
(8
)
Capitalized borrowing costs (C)
 
1

 
—

 
1

 
1

Finance expenses
 
(42
)
 
(43
)
 
(87
)
 
(89
)
Finance costs - net
 
(42
)
 
(43
)
 
(87
)
 
(89
)
(A)
For the six months ended June 30, 2020, the Group incurred mainly (i) €57 million of interest related to Constellium SE Senior Notes and (ii) €3 million of interest expense and fees related to the Muscle Shoals, Bowling Green and Ravenswood ABL Facility (“Pan-U.S. ABL”). For the six months ended June 30, 2019, the Group incurred mainly (i) €58 million of interest related to Constellium SE Senior Notes and (ii) €3 million of interest expense and fees related to the Pan-U.S. ABL.
(B)
The Group hedges the dollar exposure relating to the principal of its Constellium SE U.S. Dollar Senior Notes, for the portion that has not been used to finance directly or indirectly U.S. Dollar functional currency entities. Changes in the fair value of these hedging derivatives are recognized within Finance costs – net in the Unaudited Interim Consolidated Income Statement and largely offset the unrealized results related to Constellium SE U.S. Dollar Senior Notes revaluation.
(C)
Borrowing costs directly attributable to the construction of assets are capitalized. The capitalization rate was 6% for the six months ended June 30, 2020 and 2019.
v3.20.2
EARNINGS PER SHARE (Tables)
 6 Months Ended
Jun. 30, 2020
Earnings per share [abstract]  
Schedule of Earnings Per Share
(in millions of Euros)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share
 
(33
)
 
16

 
(64
)
 
39

Number of shares attributable to equity holders of Constellium
(number of shares)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Weighted average number of ordinary shares used to calculate basic earnings per share
 
137,901,336

 
136,700,491

 
137,903,307

 
136,344,030

Effect of other dilutive potential ordinary shares (A)
 
—

 
3,620,938

 
—

 
4,005,235

Weighted average number of ordinary shares used to calculate diluted earnings per share
 
137,901,336

 
140,321,429

 
137,903,307

 
140,349,265

(A)
For the six months and three months ended June 30, 2020, there were 4,878,787 and 4,880,758, potential ordinary shares that could have a dilutive impact, but were considered antidilutive due to negative earnings, respectively. For the six months and three months ended June 30, 2019, dilutive potential new ordinary shares to be issued were part of share-based compensation plans.
Earnings per share attributable to the equity holders of Constellium
(in Euro per share)
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Basic
 
(0.24
)
 
0.12

 
(0.46
)
 
0.29

Diluted
 
(0.24
)
 
0.11

 
(0.46
)
 
0.28
v3.20.2
CASH AND CASH EQUIVALENTS (Tables)
 6 Months Ended
Jun. 30, 2020
Cash and cash equivalents [abstract]  
Schedule of Cash and Cash Equivalents
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Cash in bank and on hand
 
378

 
184

Total Cash and cash equivalent
 
378

 
184
v3.20.2
TRADE RECEIVABLES AND OTHER (Tables)
 6 Months Ended
Jun. 30, 2020
Trade and other receivables [abstract]  
Schedule of Trade Receivables and Other
Trade receivables and other are comprised of the following:
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Trade receivables - gross
 
—

 
389

 
—

 
395

Impairment
 
—

 
(3
)
 
—

 
(2
)
Total trade receivables - net
 
—

 
386

 
—

 
393

Income tax receivables
 
34

 
9

 
35

 
22

Other taxes
 
—

 
17

 
—

 
35

Contract assets
 
31

 
1

 
16

 
2

Prepaid expenses
 
1

 
20

 
1

 
8

Other
 
8

 
18

 
8

 
14

Total other receivables
 
74

 
65

 
60

 
81

Total trade receivables and other
 
74

 
451

 
60

 
474
Schedule of Contract Assets
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Unbilled tooling costs
 
14

 
—

 
16

 
—

Other
 
17

 
1

 
—

 
2

Total Contract assets
 
31

 
1

 
16

 
2
Schedule of Aging of Total Trade Receivables—Net
The aging of total trade receivables - net is as follows:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Not past due
 
369

 
380

1 – 30 days past due
 
15

 
10

31 – 60 days past due
 
2

 
3

61 – 90 days past due
 
—

 
—

Greater than 90 days past due
 
—

 
—

Total trade receivables - net
 
386

 
393
Schedule of Carrying Amounts of Total Trade Receivables—Net by Currency
The composition of the carrying amounts of total Trade receivables - net by currency is shown in Euro equivalents as follows:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Euro
 
158

 
126

U.S. Dollar
 
203

 
251

Swiss franc
 
14

 
3

Other currencies
 
11

 
13

Total trade receivables - net
 
386

 
393
v3.20.2
INVENTORIES (Tables)
 6 Months Ended
Jun. 30, 2020
Subclassifications of assets, liabilities and equities [abstract]  
Schedule of Inventories
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Finished goods
 
194

 
203

Work in progress
 
303

 
321

Raw materials
 
99

 
106

Stores and supplies
 
77

 
74

Inventories write-down
 
(38
)
 
(34
)
Total inventories
 
635

 
670
v3.20.2
PROPERTY, PLANT AND EQUIPMENT (Tables)
 6 Months Ended
Jun. 30, 2020
Property, plant and equipment [abstract]  
Schedule of Property, Plant and Equipment
(in millions of Euros)
 
Land and Property Rights
 
Buildings
 
Machinery and Equipment
 
Construction Work in Progress
 
Other
 
Total
Net balance at January 1, 2020
 
19

 
366

 
1,451

 
203

 
17

 
2,056

Additions
 
—

 
9

 
36

 
66

 
1

 
112

Disposals
 
—

 
—

 
(2
)
 
—

 
—

 
(2
)
Depreciation and impairment
 
—

 
(14
)
 
(108
)
 
(5
)
 
(5
)
 
(132
)
Transfer during the year
 
2

 
18

 
52

 
(74
)
 
2

 
—

Effects of changes in foreign exchange rates
 
—

 
(1
)
 
—

 
(2
)
 
—

 
(3
)
Net balance at June 30, 2020
 
21

 
378

 
1,429

 
188

 
15

 
2,031

Cost
 
37

 
552

 
2,488

 
198

 
47

 
3,322

Less accumulated depreciation and impairment
 
(16
)
 
(174
)
 
(1,059
)
 
(10
)
 
(32
)
 
(1,291
)
Net balance at June 30, 2020
 
21

 
378

 
1,429

 
188

 
15

 
2,031
Schedule of Right of Use Assets Included in Property, Plant and Equipment
Right of use have been included within the same line item as that within which the corresponding underlying assets would be presented if they were owned.
(in millions of Euros)
 
Buildings
 
Machinery and Equipment
 
Other
 
Total
Net balance at January 1, 2020
 
116

 
71

 
3

 
190

Additions
 
9

 
10

 
1

 
20

Disposals
 
(1
)
 
—

 
—

 
(1
)
Depreciation
 
(6
)
 
(11
)
 
(1
)
 
(18
)
Effects of changes in foreign exchange rates
 
—

 
(1
)
 
—

 
(1
)
Net balance at June 30, 2020
 
118

 
69

 
3

 
190

Cost
 
142

 
121

 
5

 
268

Less accumulated depreciation and impairment
 
(24
)
 
(52
)
 
(2
)
 
(78
)
Net balance at June 30, 2020
 
118

 
69

 
3

 
190
v3.20.2
INTANGIBLE ASSETS (INCLUDING GOODWILL) (Tables)
 6 Months Ended
Jun. 30, 2020
Intangible assets and goodwill [abstract]  
Schedule of Changes in Intangible Assets and Goodwill
(in millions of Euros)
 
Goodwill
 
Technology
 
Computer Software
 
Customer relationships
 
Work in Progress
 
Other
 
Total intangible assets (excluding goodwill)
Net balance at January 1, 2020
 
455

 
21

 
19

 
14

 
14

 
2

 
70

Additions
 
—

 
—

 
—

 
—

 
3

 
—

 
3

Amortization expense
 
—

 
(1
)
 
(4
)
 
—

 
—

 
—

 
(5
)
Transfer during the year
 
—

 
—

 
1

 
—

 
(1
)
 
—

 
—

Effects of changes in foreign exchange rates
 
1

 
—

 
—

 
—

 
—

 
—

 
—

Net balance at June 30, 2020
 
456

 
20

 
16

 
14

 
16

 
2

 
68

Cost
 
456

 
86

 
75

 
40

 
17

 
2

 
220

Less accumulated depreciation and impairment
 
—

 
(66
)
 
(59
)
 
(26
)
 
(1
)
 
—

 
(152
)
Net balance at June 30, 2020
 
456

 
20

 
16

 
14

 
16

 
2

 
68
v3.20.2
TRADE PAYABLES AND OTHER (Tables)
 6 Months Ended
Jun. 30, 2020
Trade and other payables [abstract]  
Schedule of Trade Payables and Other
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Trade payables
 
—

 
683

 
—

 
711

Fixed assets payables
 
—

 
29

 
—

 
43

Employees' entitlements
 
—

 
173

 
—

 
171

Taxes payable other than income tax
 
—

 
33

 
—

 
14

Contract liabilities and other liabilities to customers
 
5

 
78

 
6

 
54

Other payables
 
14

 
7

 
15

 
6

Total other
 
19

 
320

 
21

 
288

Total trade payables and other
 
19

 
1,003

 
21

 
999
Schedule of Contract Liabilities
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Non-current
 
Current
Deferred tooling revenue
 
2

 
—

 
2

 
—

Advance payment from customers
 
1

 
4

 
2

 
5

Unrecognized variable consideration (A)
 
2

 
57

 
2

 
46

Other
 
—

 
17

 
—

 
3

Total contract liabilities and other liabilities to customers
 
5

 
78

 
6

 
54

(A)
Unrecognized variable consideration consists of expected volume rebates, discounts, incentives, refunds, penalties and price concessions.
v3.20.2
BORROWINGS (Tables)
 6 Months Ended
Jun. 30, 2020
Borrowings [abstract]  
Schedule of Borrowings by Nature
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
 
 
Nominal Value in Currency
 
Nominal rate
 
Effective rate
 
Nominal Value In Euros
 
(Arrangement fees)
 
Accrued interests
 
Carrying value
 
Carrying value
Secured Pan-U.S. ABL
(due 2022)
 
$
—

 
Floating

 
3.43
%
 
—

 
—

 
—

 
—

 
127

Secured U.S. DDTL
(due 2022) (A)
 
$
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Secured French Loan
(due 2025) (B)
 
€
180

 
Floating

 
2.50
%
 
180

 
—

 
—

 
180

 
—

Secured Inventory Based Facility (due 2021)
 
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Senior Unsecured Notes
 
 
 
 
 
 
 


 


 


 


 
 
Constellium SE
(Issued May 2014, due 2024)
 
$
400

 
5.75
%
 
6.26
%
 
357

 
(3
)
 
3

 
357

 
355

Constellium SE
(Issued May 2014, due 2021)
 
€
—

 
4.63
%
 
5.16
%
 
—

 
—

 
—

 
—

 
200

Constellium SE
(Issued February 2017, due 2025)
 
$
650

 
6.63
%
 
7.13
%
 
580

 
(9
)
 
13

 
584

 
582

Constellium SE
(Issued November 2017, due 2026)
 
$
500

 
5.88
%
 
6.26
%
 
447

 
(6
)
 
10

 
451

 
449

Constellium SE
(Issued November 2017, due 2026)
 
€
400

 
4.25
%
 
4.57
%
 
400

 
(5
)
 
6

 
401

 
400

Constellium SE
(Issued June 2020, due 2028) (C)
 
$
325

 
5.63
%
 
6.05
%
 
290

 
(6
)
 
—

 
284

 
—

Unsecured Revolving Credit Facility (due 2021) (D)
 
—

 
Floating

 
—

 
—

 
—

 
—

 
—

 
—

Unsecured Credit facility Switzerland (due 2025) (E)
 
CHF
20

 
1.18
%
 
1.18
%
 
18

 
—

 
—

 
18

 
—

Lease liabilities
 
 
 
 
 
 
 
190

 
—

 
1

 
191

 
188

Other loans (F)
 
 
 
 
 
 
 
68

 
—

 
2

 
70

 
60

Total Borrowings
 
 
 
 
 
 
 
2,530

 
(29
)
 
35

 
2,536

 
2,361

Of which non-current
 
 
 
 
 
 
 
 
 
 
 
 
 
2,434

 
2,160

Of which current
 
 
 
 
 
 
 
 
 
 
 
 
 
102

 
201

Constellium SE Senior Notes are guaranteed by certain subsidiaries.
(A)
On April 24, 2020, Constellium Muscle Shoals, Constellium Rolled Product Ravenswood, LLC and Constellium Bowling Green amended the Pan-U.S. ABL to include a delay-draw term loan (the “U.S. DDTL”) of $166 million.
(B)
On May 13, 2020, one of our French entities entered into a term facility agreement with a syndicate of banks (the “French Loan”), 80% guaranteed by the French State. The French Loan established a fully committed term loan for an aggregate amount up to €180 million, of which €30 million was provided by Bpifrance Financement, a related party. The French Loan will mature no earlier than May 20, 2021, and the Company has the option to extend it for up to five years.
(C)
On June 30, 2020, Constellium SE issued $325 million principal amount of the 5.625% Senior Notes due 2028. Deferred arrangement fees amounted to €6 million on the issuance date. A portion of the net proceeds from the issuance were used to repurchase the remaining €200 million of the 4.625% Constellium SE Senior Unsecured Notes issued in May 2014, due 2021.
(D)
The Unsecured Revolving Credit Facility has a €5 million borrowing base and is provided by Bpifrance Financement, a related party.
(E)
On May 22, 2020, Constellium Valais entered into an uncommitted revolving credit facility for an amount of CHF 20 million, 85% guaranteed by the Swiss state. This facility may be terminated by either party at any time.
(F)
Other loans include €38 million of financial liabilities relating to the sale and leaseback of assets that were considered to be financing arrangements in substance.
Schedule of Movement in Borrowings
(in millions of Euros)
 
Six months ended
June 30, 2020
 
Year ended December 31,2019
At December 31, prior year
 
2,361

 
2,151

IFRS 16 application
 
—

 
102

At January 1
 
2,361

 
2,253

Cash flows
 
 
 
 
Proceeds from issuance of Senior Notes (A)
 
290

 
—

Repayment of Senior Notes (B)
 
(200
)
 
(100
)
Proceeds from French loan
 
180

 
—

Proceeds from Swiss credit facility
 
18

 
—

(Repayments) / proceeds from U.S. revolving credit facility and other loans
 
(124
)
 
109

Payment of deferred financing costs
 
(6
)
 
—

Lease repayments
 
(17
)
 
(86
)
Non-cash changes
 
 
 
 
Borrowings assumed through business combination
 
—

 
75

Movement in interests accrued or capitalized
 
(1
)
 
1

New leases and other loans
 
25

 
75

Deferred arrangement fees and other
 
3

 
5

Effects of changes in foreign exchange rates
 
7

 
29

At the end of the period
 
2,536

 
2,361

(A)
The proceeds from the Senior Notes issued on June 30, 2020 were €290 million, converted at the issuance date exchange rate of EUR/USD=1.1198.
(B)
On June 30, 2020, the remaining €200 million of the 4.625% Senior Notes due 2021 were redeemed. On August 8, 2019, €100 million of the €300 million outstanding aggregate principal amount of the 4.625% Senior Notes due 2021 were redeemed.
Schedule of Currency Concentration of Total Borrowings
The composition of the carrying amounts of total borrowings in Euro equivalents is denominated in the currencies shown below:
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
U.S. Dollar
 
1,757

 
1,597

Euro
 
741

 
746

Other currencies
 
38

 
18

Total borrowings
 
2,536

 
2,361
v3.20.2
FINANCIAL INSTRUMENTS (Tables)
 6 Months Ended
Jun. 30, 2020
Disclosure of detailed information about financial instruments [abstract]  
Schedule of Financial Assets and Liabilities by Categories
 
 
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Notes
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
Cash and cash equivalents
 
10
 
378

 
—

 
—

 
378

 
184

 
—

 
—

 
184

Trade receivables
 
11
 
—

 
—

 
386

 
386

 
—

 
—

 
393

 
393

Other financial assets
 
 
 
—

 
31

 
—

 
31

 
—

 
29

 
—

 
29

Total
 
 
 
378

 
31

 
386

 
795

 
184

 
29

 
393

 
606

 
 
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Notes
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
Trade payables and fixed assets payables
 
15
 
712

 
—

 
—

 
712

 
754

 
—

 
—

 
754

Borrowings
 
16
 
2,536

 
—

 
—

 
2,536

 
2,361

 
—

 
—

 
2,361

Other financial liabilities
 
 
 
—

 
61

 
14

 
75

 
—

 
44

 
14

 
58

Total
 
 
 
3,248

 
61

 
14

 
3,323

 
3,115

 
44

 
14

 
3,173
Schedule of Other Financial Assets and Other Financial Liabilities Positions
 
 
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Notes
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
 
At amortized cost
 
At Fair Value through Profit and loss
 
At Fair Value through OCI
 
Total
Trade payables and fixed assets payables
 
15
 
712

 
—

 
—

 
712

 
754

 
—

 
—

 
754

Borrowings
 
16
 
2,536

 
—

 
—

 
2,536

 
2,361

 
—

 
—

 
2,361

Other financial liabilities
 
 
 
—

 
61

 
14

 
75

 
—

 
44

 
14

 
58

Total
 
 
 
3,248

 
61

 
14

 
3,323

 
3,115

 
44

 
14

 
3,173


The table below details other financial assets and other financial liabilities positions:
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Non-current
 
Current
 
Total
 
Non-current
 
Current
 
Total
Derivatives
 
9

 
22

 
31

 
7

 
22

 
29

Aluminium and premium future contracts
 
2

 
11

 
13

 
1

 
8

 
9

Energy future contracts
 
—

 
—

 
—

 
—

 
—

 
—

Other future contracts
 
—

 
—

 
—

 
—

 
—

 
—

Currency commercial contracts
 
7

 
10

 
17

 
5

 
12

 
17

Currency net debt derivatives
 
—

 
1

 
1

 
1

 
2

 
3

Other financial assets
 
9

 
22

 
31

 
7

 
22

 
29

Derivatives
 
30

 
45

 
75

 
23

 
35

 
58

Aluminium and premium future contracts
 
9

 
19

 
28

 
4

 
10

 
14

Energy future contracts
 
—

 
—

 
—

 
—

 
1

 
1

Other future contracts
 
1

 
4

 
5

 
2

 
4

 
6

Currency commercial contracts
 
15

 
21

 
36

 
12

 
16

 
28

Currency net debt derivatives
 
5

 
1

 
6

 
5

 
4

 
9

Other financial liabilities
 
30

 
45

 
75

 
23

 
35

 
58
Schedule of Derivatives Measured at Fair Value
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Other financial assets - derivatives
 
12

 
19

 
—

 
31

 
8

 
21

 
—

 
29

Other financial liabilities - derivatives
 
30

 
45

 
—

 
75

 
19

 
39

 
—

 
58
v3.20.2
FINANCIAL RISK MANAGEMENT (Tables)
 6 Months Ended
Jun. 30, 2020
Disclosure of financial risk management [Abstract]  
Schedule of Effect of Foreign Currency Derivatives Impacts in Consolidated Income Statement and Statement of Comprehensive Income/(Loss)
The table below details the effect of foreign currency derivatives in the Unaudited Interim Consolidated Income Statement and the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss):
(in millions of Euros)
 
Notes
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
Derivatives that do not qualify for hedge accounting
 
 
 
 
 
 
 
 
 
 
Included in Other gains / (losses) - net
 
 
 
 
 
 
 
 
 
 
Realized gains on foreign currency derivatives - net
 
6
 
—

 
1

 
2

 
3

Unrealized (losses) / gains on foreign currency derivatives - net (A)
 
6
 
(1
)
 
(1
)
 
(2
)
 
1

Derivatives that qualify for hedge accounting
 
 
 
 
 

 
 
 
 
Included in Revenue
 
 
 
 
 
 
 
 
 
 
Realized losses on foreign currency derivatives - net
 
6
 
(3
)
 
(1
)
 
(5
)
 
(2
)
Unrealized gains on foreign currency derivatives - net
 
6
 
1

 
—

 
—

 
—

Included in Other gains / (losses) - net
 
 
 
 
 
 
 
 
 
 
Losses reclassified from OCI as a result of hedge accounting discontinuation (B)
 
6
 
(5
)
 
—

 
(5
)
 
—

Included in Other comprehensive income / (loss)
 
 
 
 
 
—

 
 
 
 
Unrealized gains / (losses) on foreign currency derivatives - net
 
 
 
2

 
1

 
(6
)
 
(7
)
Gains reclassified from cash flow hedge reserve to the Unaudited Interim Consolidated Income Statement
 
 
 
3

 
1

 
6

 
2

(A)
Gains or losses on the hedging instruments are expected to offset losses or gains on the underlying hedged forecasted sales that will be reflected in future years when these sales are recognized.
(B)
In the period ended June 30, 2020, we determined that a portion of the hedged forecasted sales for the second half of 2020 and 2021, to which hedge accounting is applied, was no longer expected to occur. As a result, the fair value of the related derivatives accumulated in equity was reclassified in the Unaudited Interim Consolidated Income Statement and generated a €5 million loss.
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS (Tables)
 6 Months Ended
Jun. 30, 2020
Disclosure of employee benefits [Abstract]  
Schedule of Actuarial Assumptions
Pension and other post-employment benefit obligations were updated based on the discount rates applicable at June 30, 2020.
 
 
At June 30,
2020
 
At December 31,
2019
Switzerland
 
0.20%
 
0.15%
US
 
 
 
 
Hourly pension
 
2.70% - 2.85%
 
3.15% - 3.25%
Salaried pension
 
2.75%
 
3.25%
OPEB
 
2.70% - 3.00%
 
3.20% - 3.40%
Other benefits
 
2.45% - 2.75%
 
3.00% - 3.20%
France
 
 
 
 
Retirements
 
0.95%
 
0.95%
Other benefits
 
0.85%
 
0.80%
Germany
 
1.05%
 
1.00%
Schedule of the Consolidated Statement of Financial Position
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Present value of funded obligation
 
789

 
—

 
789

 
768

 
—

 
768

Fair value of plan assets
 
(435
)
 
—

 
(435
)
 
(445
)
 
—

 
(445
)
Deficit of funded plans
 
354

 
—

 
354

 
323

 
—

 
323

Present value of unfunded obligation
 
131

 
230

 
361

 
127

 
220

 
347

Net liability arising from defined benefit obligation
 
485

 
230

 
715

 
450

 
220

 
670
Schedule of Amounts Recognised In Unaudited Interim Income Statement
 
 
Three months ended
June 30, 2020
 
Three months ended
June 30, 2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Service cost
 
 
 
 
 
 
 
 
 
 
 
 
Current service cost
 
(5
)
 
(1
)
 
(6
)
 
(5
)
 
(1
)
 
(6
)
Past service cost
 
—

 
(2
)
 
(2
)
 
—

 
—

 
—

Net interest
 
(2
)
 
(1
)
 
(3
)
 
(2
)
 
(2
)
 
(4
)
Immediate recognition of gains / (losses) arising over the period
 
—

 
(1
)
 
(1
)
 
—

 
(2
)
 
(2
)
Administration expenses
 
(1
)
 
—

 
(1
)
 
—

 
—

 
—

Total
 
(8
)
 
(5
)
 
(13
)
 
(7
)
 
(5
)
 
(12
)

 
 
Six months ended
June 30, 2020
 
Six months ended
June 30, 2019
(in millions of Euros)
 
Pension Benefits
 
Other Benefits
 
Total
 
Pension Benefits
 
Other Benefits
 
Total
Service cost
 
 
 
 
 
 
 
 
 
 
 
 
Current service cost
 
(11
)
 
(3
)
 
(14
)
 
(9
)
 
(3
)
 
(12
)
Past service cost
 
—

 
(2
)
 
(2
)
 
—

 
—

 
—

Net interest
 
(3
)
 
(3
)
 
(6
)
 
(4
)
 
(4
)
 
(8
)
Immediate recognition of gains / (losses) arising over the period
 
—

 
—

 
—

 
—

 
(2
)
 
(2
)
Administration expenses
 
(1
)
 
—

 
(1
)
 
(1
)
 
—

 
(1
)
Total
 
(15
)
 
(8
)
 
(23
)
 
(14
)
 
(9
)
 
(23
)
Schedule of Movement in Net Defined Benefit Obligations
 
 
At June 30,
2020
 
 
Defined benefit obligations
 
Plan Assets
 
Net defined benefit liability
(in millions of Euros)
 
Pension benefits
 
Other benefits
 
Total
 
At January 1, 2020
 
895

 
220

 
1,115

 
(445
)
 
670

Included in the Unaudited Interim Consolidated Income Statement
 
 
 
 
 
 
 
 
 
 
Current service cost
 
11

 
3

 
14

 
—

 
14

Interest cost / (income)
 
7

 
3

 
10

 
(4
)
 
6

Past service cost
 
—

 
2

 
2

 
—

 
2

Immediate recognition of gains / (losses) arising over the year
 
—

 
—

 
—

 
—

 
—

Administration expenses
 
—

 
—

 
—

 
1

 
1

Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)
 
 
 
 
 
 
 
 
 
 
Remeasurements due to:
 
 
 
 
 
 
 
 
 
 
—actual return less interest on plan assets
 
—

 
—

 
—

 
13

 
13

—changes in financial assumptions
 
16

 
11

 
27

 
—

 
27

—changes in demographic assumptions
 
—

 
—

 
—

 
—

 
—

—experience losses
 
1

 
(1
)
 
—

 
—

 
—

Effects of changes in foreign exchange rates
 
6

 
1

 
7

 
(5
)
 
2

Included in the Unaudited Interim Consolidated Statement of Cash Flows
 
 
 
 
 
 
 
 
 
 
Benefits paid
 
(18
)
 
(9
)
 
(27
)
 
17

 
(10
)
Contributions by the Group
 
—

 
—

 
—

 
(10
)
 
(10
)
Contributions by the plan participants
 
2

 
—

 
2

 
(2
)
 
—

At June 30, 2020
 
920

 
230

 
1,150

 
(435
)
 
715
Schedule of Net Defined Benefit Obligations by Country
 
 
At June 30,
2020
 
At December 31,
2019
(in millions of Euros)
 
Defined benefit obligations
 
Plan assets
 
Net defined benefit liability
 
Defined benefit obligations
 
Plan assets
 
Net defined benefit liability
France
 
164

 
(3
)
 
161

 
161

 
(3
)
 
158

Germany
 
140

 
(1
)
 
139

 
144

 
(1
)
 
143

Switzerland
 
303

 
(213
)
 
90

 
299

 
(214
)
 
85

United States
 
542

 
(218
)
 
324

 
510

 
(227
)
 
283

Other countries
 
1

 
—

 
1

 
1

 
—

 
1

Total
 
1,150

 
(435
)
 
715

 
1,115

 
(445
)
 
670
v3.20.2
PROVISIONS (Tables)
 6 Months Ended
Jun. 30, 2020
Disclosure of other provisions [abstract]  
Schedule of Changes in Provisions
(in millions of Euros)
 
Notes
 
Close down and environmental remediation costs
 
Restructuring
costs
 
Legal claims
and other costs
 
Total
At January 1, 2020
 
 
 
90

 
4

 
28

 
122

Allowance
 
 
 
—

 
11

 
2

 
13

Amounts used
 
 
 
—

 
(5
)
 
—

 
(5
)
Unused amounts reversed
 
 
 
—

 
—

 
(4
)
 
(4
)
Unwinding of discounts
 
 
 
1

 
—

 
—

 
1

Effects of changes in foreign exchange rates
 
 
 
1

 
—

 
—

 
1

At June 30, 2020
 
 
 
92

 
10

 
26

 
128

Current
 
 
 
7

 
9

 
13

 
29

Non-Current
 
 
 
85

 
1

 
13

 
99

Total Provisions
 
 
 
92

 
10

 
26

 
128
Schedule of Legal Claims and Other Costs
(in millions of Euros)
 
At June 30,
2020
 
At December 31,
2019
Litigation
 
19

 
21

Disease claims
 
4

 
4

Other
 
3

 
3

Total Provisions for legal claims and other costs
 
26

 
28
v3.20.2
SHARE CAPITAL (Tables)
 6 Months Ended
Jun. 30, 2020
Disclosure of share capital, reserves and other equity interest [Abstract]  
Schedule of Share Capital
 
 
 
 
(in millions of Euros)
 
 
Number of shares
 
Share capital
 
Share premium
At January 1, 2020
 
137,867,418

 
3

 
420

New shares issued
 
54,614

 
—

 
—

At June 30, 2020
 
137,922,032

 
3

 
420
v3.20.2
SHARE-BASED COMPENSATION (Tables)
 6 Months Ended
Jun. 30, 2020
Share-based payment arrangements [Abstract]  
Schedule of Inputs to the Model Used for PSUs Granted
The following table lists the inputs to the model used for the PSUs granted in April 2020:
 
 
Six months ended
June 30, 2020
Fair value at grant date (in euros)
 
6.65

Share price at grant date (in euros)
 
4.64

Dividend yield
 
—

Expected volatility (A)
 
63
%
Risk-free interest rate (US government bond yield)
 
0.36
%
Model used
 
Monte Carlo
Schedule of Number and Movement of Potential Shares
he following table illustrates the number and movements in potential shares:
 
 
Performance Share Units (PSUs)
 
Restricted Stock Units (RSUs)
 
Equity Award Plans
 
Total Potential Shares
At December 31, 2019
 
2,519,294

 
2,066,503

 
79,526

 
4,665,323

Granted (A)
 
1,049,839

 
910,047

 
—

 
1,959,886

Vested
 
—

 
(8,000
)
 
(46,614
)
 
(54,614
)
Forfeited (B)
 
(46,306
)
 
(50,931
)
 
—

 
(97,237
)
At June 30, 2020
 
3,522,827

 
2,917,619

 
32,912

 
6,473,358

(A)
For PSUs, the number of potential shares granted is presented using a vesting multiplier of 100%.
(B)
For potential shares related to PSUs, 46,306 were forfeited following the departure of certain beneficiaries and none were forfeited in relation to the non-fulfilment of performance conditions.
v3.20.2
GENERAL INFORMATION (Details)
Jun. 30, 2020
Employees
Center
Facility
site
Disclosure of general information [abstract]  
Number of production facilities | Facility 28
Number of administrative and commercial sites | site 3
Number of R&D centers | Center 3
Number of employees | Employees 12,400
v3.20.2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Disclosure of Foreign Exchange Rates (Details)
 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Disclosure of foreign exchange rates [line items]      
Closing rate 1.1198    
U.S. Dollars      
Disclosure of foreign exchange rates [line items]      
Average rate 1.1018 1.1297  
Closing rate 1.1198   1.1234
Swiss Francs      
Disclosure of foreign exchange rates [line items]      
Average rate 1.0641 1.1294  
Closing rate 1.0651   1.0854
Czech Koruna      
Disclosure of foreign exchange rates [line items]      
Average rate 26.2970 25.6842  
Closing rate 26.7400   25.4080
v3.20.2
REVENUE - Disaggregation of Revenue by Product Line (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Disclosure of products and services [line items]        
Total Revenue € 1,031 € 1,538 € 2,468 € 3,074
Packaging rolled products        
Disclosure of products and services [line items]        
Total Revenue 456 568 980 1,116
Automotive rolled products        
Disclosure of products and services [line items]        
Total Revenue 88 209 281 439
Specialty and other thin-rolled products        
Disclosure of products and services [line items]        
Total Revenue 20 42 52 90
Aerospace rolled products        
Disclosure of products and services [line items]        
Total Revenue 142 224 365 429
Transportation, Industry and other rolled products        
Disclosure of products and services [line items]        
Total Revenue 105 148 231 310
Automotive extruded products        
Disclosure of products and services [line items]        
Total Revenue 96 199 295 387
Other extruded products        
Disclosure of products and services [line items]        
Total Revenue € 124 € 148 € 264 € 303
v3.20.2
REVENUE - Disaggregation of Revenue by Destination of Shipment (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Disclosure of geographical areas [line items]        
Total Revenue € 1,031 € 1,538 € 2,468 € 3,074
France        
Disclosure of geographical areas [line items]        
Total Revenue 67 154 188 306
Germany        
Disclosure of geographical areas [line items]        
Total Revenue 192 339 479 678
United Kingdom        
Disclosure of geographical areas [line items]        
Total Revenue 39 49 108 99
Switzerland        
Disclosure of geographical areas [line items]        
Total Revenue 15 18 27 38
Other Europe        
Disclosure of geographical areas [line items]        
Total Revenue 201 286 476 555
United States        
Disclosure of geographical areas [line items]        
Total Revenue 413 600 974 1,164
United States        
Disclosure of geographical areas [line items]        
Total Revenue 7 9 24 27
Asia and Other Pacific        
Disclosure of geographical areas [line items]        
Total Revenue 61 68 118 137
All Other        
Disclosure of geographical areas [line items]        
Total Revenue € 36 € 15 € 74 € 70
v3.20.2
REVENUE - Additional Information (Details)
 6 Months Ended
Jun. 30, 2020
Performance obligations satisfied over time  
Disclosure of geographical areas [line items]  
Percentage of payment option over total revenue 1.00%
v3.20.2
OPERATING SEGMENT INFORMATION - Additional Information (Details)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
EUR (€)
Employees
Jun. 30, 2019
EUR (€)
Jun. 30, 2020
EUR (€)
Employees
Jun. 30, 2019
EUR (€)
Disclosure of operating segments [line items]        
Number of employees | Employees 12,400   12,400  
Revenue € 1,031 € 1,538 € 2,468 € 3,074
P&ARP        
Disclosure of operating segments [line items]        
Revenue 564 819 1,313 1,645
A&T        
Disclosure of operating segments [line items]        
Revenue 247 372 596 739
AS&I        
Disclosure of operating segments [line items]        
Revenue € 220 € 347 € 559 € 690
v3.20.2
OPERATING SEGMENT INFORMATION - Segment Revenue (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Disclosure of operating segments [line items]        
Revenue € 1,031 € 1,538 € 2,468 € 3,074
P&ARP        
Disclosure of operating segments [line items]        
Revenue 564 819 1,313 1,645
A&T        
Disclosure of operating segments [line items]        
Revenue 247 372 596 739
AS&I        
Disclosure of operating segments [line items]        
Revenue 220 347 559 690
Holdings & Corporate        
Disclosure of operating segments [line items]        
Revenue 0 0 0 0
Segment revenue        
Disclosure of operating segments [line items]        
Revenue 1,037 1,551 2,490 3,101
Segment revenue | P&ARP        
Disclosure of operating segments [line items]        
Revenue 565 821 1,317 1,649
Segment revenue | A&T        
Disclosure of operating segments [line items]        
Revenue 250 383 609 761
Segment revenue | AS&I        
Disclosure of operating segments [line items]        
Revenue 222 347 564 691
Segment revenue | Holdings & Corporate        
Disclosure of operating segments [line items]        
Revenue 0 0 0 0
Inter-segment elimination        
Disclosure of operating segments [line items]        
Revenue (6) (13) (22) (27)
Inter-segment elimination | P&ARP        
Disclosure of operating segments [line items]        
Revenue (1) (2) (4) (4)
Inter-segment elimination | A&T        
Disclosure of operating segments [line items]        
Revenue (3) (11) (13) (22)
Inter-segment elimination | AS&I        
Disclosure of operating segments [line items]        
Revenue (2) 0 (5) (1)
Inter-segment elimination | Holdings & Corporate        
Disclosure of operating segments [line items]        
Revenue € 0 € 0 € 0 € 0
v3.20.2
OPERATING SEGMENT INFORMATION - Segment Adjusted EBITDA and reconciliation of Adjusted EBITDA to Net Income (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items]          
Adjusted EBITDA € 81 € 167 € 228 € 302  
Metal price lag (25) (13) (40) (31)  
Start-up and development costs (2) (3) (4) (5)  
Bowling Green one-time costs related to the acquisition 0 0 0 (6)  
Share-based compensation costs (5) (4) (8) (7)  
Gains on pension plan amendments (2) 0 (2) 0 € 0
Depreciation, amortization and impairment (71) (60) (137) (117)  
Restructuring costs (11) (1) (11) (1)  
Unrealized gains / (losses) on derivatives 43 (14) (10) 17  
Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities – net 1 (1) (1) 0  
(Losses) / gains on disposals 0 (1) 0 (2)  
Other (10) (1) (10) (1)  
(Loss) / income from operations (1) 69 5 149  
Finance costs - net (42) (43) (87) (89)  
Share of income of joint-ventures 0 0 0 5  
(Loss) / income before income tax (43) 26 (82) 65  
Income tax benefit / (expense) 11 (9) 19 (24)  
Net (loss) / income (32) 17 (63) 41 € 64
Procurement penalties and termination fees     5    
Loss on hedge ineffectiveness recognised in profit or loss 5 0 5 0  
P&ARP          
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items]          
Adjusted EBITDA 58 79 124 138  
A&T          
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items]          
Adjusted EBITDA 31 64 83 116  
AS&I          
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items]          
Adjusted EBITDA (1) 30 33 59  
Start-up and development costs     (4) (5)  
Holdings & Corporate          
Disclosure of segment adjusted EBITDA and reconciliation of adjusted EBITDA to net income [line items]          
Adjusted EBITDA € (7) € (6) € (12) € (11)  
v3.20.2
OPERATING SEGMENT INFORMATION - Segment Capital Expenditures (Details) - EUR (€)
€ in Millions
 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Disclosure of operating segments [line items]    
Capital expenditures € (98) € (130)
P&ARP    
Disclosure of operating segments [line items]    
Capital expenditures (38) (44)
A&T    
Disclosure of operating segments [line items]    
Capital expenditures (24) (29)
AS&I    
Disclosure of operating segments [line items]    
Capital expenditures (34) (56)
Holdings & Corporate    
Disclosure of operating segments [line items]    
Capital expenditures € (2) € (1)
v3.20.2
OPERATING SEGMENT INFORMATION - Segment Assets (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Jun. 30, 2019
Dec. 31, 2018
Disclosure of operating segments [line items]        
Total Assets € 4,347 € 4,184    
Deferred income tax assets 222 185    
Cash and cash equivalents 378 184 € 213 € 164
Other financial assets 31 29    
Segment revenue        
Disclosure of operating segments [line items]        
Total Assets 3,716 3,786    
Segment revenue | P&ARP        
Disclosure of operating segments [line items]        
Total Assets 1,969 1,951    
Segment revenue | A&T        
Disclosure of operating segments [line items]        
Total Assets 818 856    
Segment revenue | AS&I        
Disclosure of operating segments [line items]        
Total Assets 716 703    
Segment revenue | Holdings & Corporate        
Disclosure of operating segments [line items]        
Total Assets 213 276    
Unallocated        
Disclosure of operating segments [line items]        
Deferred income tax assets 222 185    
Cash and cash equivalents 378 184    
Other financial assets € 31 € 29    
v3.20.2
OTHER GAINS / (LOSSES)—NET (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Analysis of income and expense [abstract]          
Realized (losses) / gains on derivatives € (32) € (14) € (44) € (28)  
Losses reclassified from OCI as a result of hedge accounting discontinuation (5) 0 (5) 0  
Unrealized gains / (losses) on derivatives at fair value through profit and loss—net 43 (14) (10) 17  
Unrealized exchange gains / (losses) from the remeasurement of monetary assets and liabilities – net 1 (1) (1) 0  
Gains on pension plan amendments (2) 0 (2) 0 € 0
(Losses) / gains on disposals 0 (1) 0 (2)  
Other 0 0 (1) (1)  
Total other gains / (losses) - net € 5 € (30) € (63) € (14)  
v3.20.2
CURRENCY GAINS / (LOSSES) - Currency Gains and Losses Included in Income from Operations (Details)
€ in Millions, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
EUR (€)
Jun. 30, 2020
USD ($)
Jun. 30, 2019
EUR (€)
Jun. 30, 2019
USD ($)
Jun. 30, 2020
EUR (€)
Jun. 30, 2020
USD ($)
Jun. 30, 2019
EUR (€)
Jun. 30, 2019
USD ($)
Analysis of income and expense [line items]                
Total currency gains / (losses) - net € (6) $ (6) € (2) $ (2) € (10) $ (10) € 2 $ 2
Realized exchange (losses) / gains on foreign currency derivatives - net (3)   0   (3)   1  
Gain (loss) on hedge ineffectiveness recognised in profit or loss (5)   0   (5)   0  
Unrealized (losses) / gains on foreign currency derivatives - net 0   (1)   (2)   1  
Exchange gains / (losses) from the remeasurement of monetary assets and liabilities - net 2   (1)   0   0  
Included in Revenue                
Analysis of income and expense [line items]                
Total currency gains / (losses) - net (2)   (1)   (5)   (2)  
Included in Cost of sales                
Analysis of income and expense [line items]                
Total currency gains / (losses) - net 1   0   1   0  
Included in Other gains / (losses) - net                
Analysis of income and expense [line items]                
Total currency gains / (losses) - net € (5)   € (1)   € (6)   € 4  
v3.20.2
FINANCE COSTS—NET (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Analysis of income and expense [line items]        
Interest expense on borrowings € (30) € (30) € (61) € (62)
Expenses on factoring arrangements (3) (5) (6) (10)
Interest expense on leases (2) (4) (5) (7)
Realized and unrealized (losses) / gains on debt derivatives at fair value (7) (4) 1 5
Realized and unrealized exchange (losses) / gains on financing activities - net 8 6 (3) 0
Interest cost on pension and other benefits (3) (4) (6) (8)
Other finance expenses (6) (2) (8) (8)
Capitalized borrowing costs 1 0 1 1
Finance expenses (42) (43) (87) (89)
Finance costs - net € (42) € (43) € (87) € (89)
Capitalization rate     6.00% 6.00%
Constellium SE Senior Notes        
Analysis of income and expense [line items]        
Interest expense on debt instruments issued     € 57 € 58
Pan US ABL Facility        
Analysis of income and expense [line items]        
Interest expense on debt instruments issued     € 3 € 3
v3.20.2
EARNINGS PER SHARE - Earnings Attributable to Equity Holders of Parent used to Calculate Basic and Diluted Earnings per share (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Earnings per share [abstract]        
Earnings attributable to equity holders of the parent used to calculate basic and diluted earnings per share € (33) € 16 € (64) € 39
v3.20.2
EARNINGS PER SHARE - Number of Shares Attributable to Equity Holders (Details) - shares
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Earnings per share [abstract]        
Weighted average number of ordinary shares used to calculate basic earnings per share (in shares) 137,901,336 136,700,491 137,903,307 136,344,030
Effect of other dilutive potential ordinary shares (in shares) 0 3,620,938 0 4,005,235
Weighted average number of ordinary shares used to calculate diluted earnings per share (in shares) 137,901,336 140,321,429 137,903,307 140,349,265
Potential ordinary shares (in shares) 4,880,758   4,878,787  
v3.20.2
EARNINGS PER SHARE - Earnings Per Share Attributable to the Equity Holders (Details) - € / shares
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Earnings per share [abstract]        
Basic (in EUR per share) € (0.24) € 0.12 € (0.46) € 0.29
Diluted (in EUR per share) € (0.24) € 0.11 € (0.46) € 0.28
v3.20.2
CASH AND CASH EQUIVALENTS (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Jun. 30, 2019
Dec. 31, 2018
Cash and cash equivalents [abstract]        
Cash in bank and on hand € 378 € 184    
Total Cash and cash equivalent € 378 € 184 € 213 € 164
v3.20.2
CASH AND CASH EQUIVALENTS - Additional Information (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of cash and cash equivalents [line Items]    
Cash in bank and on hand € 378 € 184
Subsidiaries in capital control restrictions countries    
Disclosure of cash and cash equivalents [line Items]    
Cash in bank and on hand € 22 € 22
v3.20.2
TRADE RECEIVABLES AND OTHER (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Non-current    
Trade receivables € 0 € 0
Income tax receivables 34 35
Other taxes 0 0
Contract assets 31 16
Prepaid expenses 1 1
Other 8 8
Total other receivables 74 60
Total trade receivables and other 74 60
Current    
Trade receivables 386 393
Income tax receivables 9 22
Other taxes 17 35
Contract assets 1 2
Prepaid expenses 20 8
Other 18 14
Total other receivables 65 81
Total trade receivables and other 451 474
Cost    
Non-current    
Trade receivables 0 0
Current    
Trade receivables 389 395
Impairment    
Non-current    
Trade receivables 0 0
Current    
Trade receivables € (3) € (2)
v3.20.2
TRADE RECEIVABLES AND OTHER - Contract Assets (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of disaggregation of revenue from contracts with customers [line items]    
Contact assets, Non-current € 31 € 16
Contract assets, Current 1 2
Unbilled tooling costs    
Disclosure of disaggregation of revenue from contracts with customers [line items]    
Contact assets, Non-current 14 16
Contract assets, Current 0 0
Other    
Disclosure of disaggregation of revenue from contracts with customers [line items]    
Contact assets, Non-current 17 0
Contract assets, Current € 1 € 2
v3.20.2
TRADE RECEIVABLES AND OTHER - Aging of Total Trade Receivables - Net (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Trade receivables [line items]    
Trade receivables € 386 € 393
Not past due    
Trade receivables [line items]    
Trade receivables 369 380
1 – 30 days past due    
Trade receivables [line items]    
Trade receivables 15 10
31 – 60 days past due    
Trade receivables [line items]    
Trade receivables 2 3
61 – 90 days past due    
Trade receivables [line items]    
Trade receivables 0 0
Greater than 90 days past due    
Trade receivables [line items]    
Trade receivables € 0 € 0
v3.20.2
TRADE RECEIVABLES AND OTHER - Additional Information (Details)
 6 Months Ended
Dec. 09, 2019
USD ($)
Sep. 29, 2019
USD ($)
Jun. 30, 2020
EUR (€)
Jun. 30, 2019
EUR (€)
Dec. 31, 2019
EUR (€)
Disclosure of trade and other receivables [line items]          
Allowance recognized for impairment on trade receivables     € 400,000 € 100,000  
Factored assets     506,000,000   € 574,000,000
Factored assets, derecognized from Consolidated Statement of Financial Position     (390,000,000)   463,000,000
Factored assets, recognized in Consolidated Statement of Financial Position     116,000,000   111,000,000
Debt due factor     6,839,649   € 0
Factoring of receivables | Muscle Shoals factoring facility          
Disclosure of trade and other receivables [line items]          
Factoring maximum capacity | $   $ 300,000,000      
France | Factoring of receivables          
Disclosure of trade and other receivables [line items]          
Factoring maximum capacity     255,000,000    
Germany, Switzerland and Czech Republic | Factoring of receivables          
Disclosure of trade and other receivables [line items]          
Factoring maximum capacity     € 150,000,000    
United States | Factoring of receivables | Constellium automotive          
Disclosure of trade and other receivables [line items]          
Factoring maximum capacity | $ $ 25,000,000        
v3.20.2
TRADE RECEIVABLES AND OTHER - Carrying Amounts of Total Trade Receivables - Net by Currency (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Trade receivables [line items]    
Trade receivables € 386 € 393
Euro    
Trade receivables [line items]    
Trade receivables 158 126
U.S. Dollars    
Trade receivables [line items]    
Trade receivables 203 251
Swiss Francs    
Trade receivables [line items]    
Trade receivables 14 3
Other currencies    
Trade receivables [line items]    
Trade receivables € 11 € 13
v3.20.2
INVENTORIES (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Subclassifications of assets, liabilities and equities [abstract]    
Finished goods € 194 € 203
Work in progress 303 321
Raw materials 99 106
Stores and supplies 77 74
Inventories write-down (38) (34)
Total inventories € 635 € 670
v3.20.2
PROPERTY, PLANT AND EQUIPMENT (Details)
€ in Millions
 6 Months Ended
Jun. 30, 2020
EUR (€)
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance € 2,056
Additions 112
Disposals (2)
Depreciation and impairment (132)
Transfer during the year 0
Effects of changes in foreign exchange rates (3)
Ending balance 2,031
Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 3,322
Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (1,291)
Land and Property Rights  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 19
Additions 0
Disposals 0
Depreciation and impairment 0
Transfer during the year 2
Effects of changes in foreign exchange rates 0
Ending balance 21
Land and Property Rights | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 37
Land and Property Rights | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (16)
Buildings  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 366
Additions 9
Disposals 0
Depreciation and impairment (14)
Transfer during the year 18
Effects of changes in foreign exchange rates (1)
Ending balance 378
Buildings | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 552
Buildings | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (174)
Machinery and Equipment  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 1,451
Additions 36
Disposals (2)
Depreciation and impairment (108)
Transfer during the year 52
Effects of changes in foreign exchange rates 0
Ending balance 1,429
Machinery and Equipment | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 2,488
Machinery and Equipment | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (1,059)
Construction Work in Progress  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 203
Additions 66
Disposals 0
Depreciation and impairment (5)
Transfer during the year (74)
Effects of changes in foreign exchange rates (2)
Ending balance 188
Construction Work in Progress | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 198
Construction Work in Progress | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (10)
Other  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 17
Additions 1
Disposals 0
Depreciation and impairment (5)
Transfer during the year 2
Effects of changes in foreign exchange rates 0
Ending balance 15
Other | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 47
Other | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance € (32)
v3.20.2
PROPERTY, PLANT AND EQUIPMENT - Right of Use Assets Included in Property, Plant and Equipment (Details)
€ in Millions
 6 Months Ended
Jun. 30, 2020
EUR (€)
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance € 2,056
Additions 112
Disposals (2)
Depreciation and impairment (132)
Effects of changes in foreign exchange rates (3)
Ending balance 2,031
Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 3,322
Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (1,291)
Buildings  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 366
Additions 9
Disposals 0
Depreciation and impairment (14)
Effects of changes in foreign exchange rates (1)
Ending balance 378
Buildings | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 552
Buildings | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (174)
Machinery and Equipment  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 1,451
Additions 36
Disposals (2)
Depreciation and impairment (108)
Effects of changes in foreign exchange rates 0
Ending balance 1,429
Machinery and Equipment | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 2,488
Machinery and Equipment | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (1,059)
Other  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 17
Additions 1
Disposals 0
Depreciation and impairment (5)
Effects of changes in foreign exchange rates 0
Ending balance 15
Other | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 47
Other | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (32)
Right-of-use assets  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 190
Additions 20
Disposals (1)
Depreciation and impairment (18)
Effects of changes in foreign exchange rates (1)
Ending balance 190
Right-of-use assets | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 268
Right-of-use assets | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (78)
Right-of-use assets | Buildings  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 116
Additions 9
Disposals (1)
Depreciation and impairment (6)
Effects of changes in foreign exchange rates 0
Ending balance 118
Right-of-use assets | Buildings | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 142
Right-of-use assets | Buildings | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (24)
Right-of-use assets | Machinery and Equipment  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 71
Additions 10
Disposals 0
Depreciation and impairment (11)
Effects of changes in foreign exchange rates (1)
Ending balance 69
Right-of-use assets | Machinery and Equipment | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 121
Right-of-use assets | Machinery and Equipment | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance (52)
Right-of-use assets | Other  
Reconciliation of changes in property, plant and equipment [abstract]  
Beginning balance 3
Additions 1
Disposals 0
Depreciation and impairment (1)
Effects of changes in foreign exchange rates 0
Ending balance 3
Right-of-use assets | Other | Cost  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance 5
Right-of-use assets | Other | Less accumulated depreciation and impairment  
Reconciliation of changes in property, plant and equipment [abstract]  
Ending balance € (2)
v3.20.2
PROPERTY, PLANT AND EQUIPMENT - Additional Information (Details) - EUR (€)
 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Disclosure of detailed information about property, plant and equipment [abstract]    
Expense related to short-term leases, low value asset leases and variable lease still recognized as operating expenses € 6,000,000 € 7,000,000
Impairment charges related to cash-generating units € 0  
Average percentage of operating level of plants 50.00%  
Impairment loss recognised in profit or loss, property, plant and equipment € 5,000,000  
v3.20.2
INTANGIBLE ASSETS (INCLUDING GOODWILL) - Changes in Intangible Assets and Goodwill (Details)
€ in Millions
 6 Months Ended
Jun. 30, 2020
EUR (€)
Changes in goodwill [abstract]  
Goodwill, beginning balance € 455
Effects of changes in foreign exchange rates 1
Goodwill, ending balance 456
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), beginning balance 70
Additions 3
Amortization expense (5)
Transfer during the year 0
Effects of changes in foreign exchange rates 0
Intangible assets (excluding goodwill), ending balance 68
Cost  
Changes in goodwill [abstract]  
Goodwill, ending balance 456
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance 220
Less accumulated depreciation and impairment  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance (152)
Technology  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), beginning balance 21
Additions 0
Amortization expense (1)
Transfer during the year 0
Effects of changes in foreign exchange rates 0
Intangible assets (excluding goodwill), ending balance 20
Technology | Cost  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance 86
Technology | Less accumulated depreciation and impairment  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance (66)
Computer Software  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), beginning balance 19
Additions 0
Amortization expense (4)
Transfer during the year 1
Effects of changes in foreign exchange rates 0
Intangible assets (excluding goodwill), ending balance 16
Computer Software | Cost  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance 75
Computer Software | Less accumulated depreciation and impairment  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance (59)
Customer relationships  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), beginning balance 14
Additions 0
Amortization expense 0
Transfer during the year 0
Effects of changes in foreign exchange rates 0
Intangible assets (excluding goodwill), ending balance 14
Customer relationships | Cost  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance 40
Customer relationships | Less accumulated depreciation and impairment  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance (26)
Work in Progress  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), beginning balance 14
Additions 3
Amortization expense 0
Transfer during the year (1)
Effects of changes in foreign exchange rates 0
Intangible assets (excluding goodwill), ending balance 16
Work in Progress | Cost  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance 17
Work in Progress | Less accumulated depreciation and impairment  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance (1)
Other  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), beginning balance 2
Additions 0
Amortization expense 0
Transfer during the year 0
Effects of changes in foreign exchange rates 0
Intangible assets (excluding goodwill), ending balance 2
Other | Cost  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance 2
Other | Less accumulated depreciation and impairment  
Changes in intangible assets other than goodwill [abstract]  
Intangible assets (excluding goodwill), ending balance € 0
v3.20.2
TRADE PAYABLES AND OTHER (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Non-current    
Trade payables € 0 € 0
Fixed assets payables 0 0
Employees' entitlements 0 0
Taxes payable other than income tax 0 0
Contract liabilities and other liabilities to customers 5 6
Other payables 14 15
Total other 19 21
Total trade payables and other 19 21
Current    
Trade payables 683 711
Fixed assets payables 29 43
Employees' entitlements 173 171
Taxes payable other than income tax 33 14
Contract liabilities and other liabilities to customers 78 54
Other payables 7 6
Total other 320 288
Total trade payables and other € 1,003 € 999
v3.20.2
TRADE PAYABLES AND OTHER - Contract Liabilities (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of disaggregation of contract liabilities with customers [line items]    
Non-current € 5 € 6
Current 78 54
Deferred tooling revenue    
Disclosure of disaggregation of contract liabilities with customers [line items]    
Non-current 2 2
Current 0 0
Advance payment from customers    
Disclosure of disaggregation of contract liabilities with customers [line items]    
Non-current 1 2
Current 4 5
Unrecognized variable consideration    
Disclosure of disaggregation of contract liabilities with customers [line items]    
Non-current 2 2
Current 57 46
Other    
Disclosure of disaggregation of contract liabilities with customers [line items]    
Non-current 0 0
Current € 17 € 3
v3.20.2
TRADE PAYABLES AND OTHER - Additional Information (Details)
€ in Millions
 6 Months Ended
Jun. 30, 2020
EUR (€)
Trade and other payables [abstract]  
Revenue recognized related to contract liabilities € 14
Deferred revenue related to contract liabilities € 25
v3.20.2
BORROWINGS - Borrowings by Nature (Details)
 6 Months Ended 12 Months Ended
May 13, 2020
EUR (€)
Jun. 30, 2020
EUR (€)
Dec. 31, 2019
EUR (€)
Jun. 30, 2020
USD ($)
Jun. 30, 2020
CHF (SFr)
May 22, 2020
EUR (€)
Apr. 24, 2020
EUR (€)
Aug. 08, 2019
EUR (€)
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 2,530,000,000            
Arrangement fees   (29,000,000)            
Accrued interests   35,000,000            
Gross lease liabilities   190,000,000            
Interest accrued lease liabilities   1,000,000            
Leases   191,000,000 € 188,000,000          
Borrowings   2,536,000,000 2,361,000,000          
Non-current borrowings   2,434,000,000 2,160,000,000          
Current borrowings   102,000,000 201,000,000          
Secured Pan-U.S. ABL (due 2022)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 0   $ 0        
Effective rate   3.43%   3.43% 3.43%      
Borrowings   € 0 127,000,000          
Secured U.S. DDTL (due 2022)                
Disclosure of detailed information about borrowings [line items]                
Nominal value | $       $ 0        
Borrowings   0 0       € 166,000,000  
Secured PGE Loan (due 2025)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 180,000,000   $ 180,000,000        
Effective rate   2.50%   2.50% 2.50%      
Borrowings   € 180,000,000 0          
Secured PGE Loan (due 2025) | French State                
Disclosure of detailed information about borrowings [line items]                
Borrowings € 180,000,000              
Percentage of principal outstanding amount guaranteed 80.00%              
Option to extend period 5 years              
Secured PGE Loan (due 2025) | French State | BPI France                
Disclosure of detailed information about borrowings [line items]                
Borrowings € 30,000,000              
Secured Inventory Based Facility (due 2021)                
Disclosure of detailed information about borrowings [line items]                
Borrowings   0 0          
Constellium SE (Issued May 2014, due 2024)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 357,000,000   $ 400,000,000        
Nominal rate   5.75%            
Effective rate   6.26%   6.26% 6.26%      
Arrangement fees   € (3,000,000)            
Accrued interests   3,000,000            
Borrowings   357,000,000 € 355,000,000          
Constellium SE (Issued May 2014, due 2021)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 0            
Nominal rate   4.63% 4.625%          
Effective rate   5.16%   5.16% 5.16%      
Arrangement fees   € 0            
Accrued interests   0            
Borrowings   0 € 200,000,000         € 300,000,000
Constellium SE (Issued February 2017, due 2025)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 580,000,000   $ 650,000,000        
Nominal rate   6.63%            
Effective rate   7.13%   7.13% 7.13%      
Arrangement fees   € (9,000,000)            
Accrued interests   13,000,000            
Borrowings   584,000,000 582,000,000          
Constellium SE (Issued November 2017, due 2026)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 447,000,000   $ 500,000,000        
Nominal rate   5.88%            
Effective rate   6.26%   6.26% 6.26%      
Arrangement fees   € (6,000,000)            
Accrued interests   10,000,000            
Borrowings   451,000,000 449,000,000          
Constellium SE (Issued November 2017, due 2026)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 400,000,000            
Nominal rate   4.25%            
Effective rate   4.57%   4.57% 4.57%      
Arrangement fees   € (5,000,000)            
Accrued interests   6,000,000            
Borrowings   401,000,000 400,000,000          
Constellium SE (Issued June 2020, due 2028)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 290,000,000   $ 325,000,000        
Nominal rate   5.625%            
Effective rate   6.05%   6.05% 6.05%      
Arrangement fees   € (6,000,000)            
Accrued interests   0            
Borrowings   284,000,000 0          
Unsecured Revolving Credit Facility (due 2021)                
Disclosure of detailed information about borrowings [line items]                
Borrowings   0 0          
Unsecured Revolving Credit Facility (due 2021) | BPI France                
Disclosure of detailed information about borrowings [line items]                
Borrowing capacity   5,000,000            
Unsecured Credit facility Switzerland (due 2025)                
Disclosure of detailed information about borrowings [line items]                
Nominal value   € 18,000,000     SFr 19,500,000      
Nominal rate   1.18%            
Effective rate   1.18%   1.18% 1.18%      
Borrowings   € 18,000,000 0          
Unsecured Credit facility Switzerland (due 2025) | Swiss State                
Disclosure of detailed information about borrowings [line items]                
Borrowings           € 20,000,000    
Percentage of principal outstanding amount guaranteed           85.00%    
Other loans                
Disclosure of detailed information about borrowings [line items]                
Nominal value   68,000,000            
Accrued interests   2,000,000            
Borrowings   70,000,000 € 60,000,000          
Financing Arrangements                
Disclosure of detailed information about borrowings [line items]                
Borrowings   € 38,000,000            
v3.20.2
BORROWINGS - Movement in Borrowings (Details)
€ in Millions
 6 Months Ended 12 Months Ended
Aug. 08, 2019
EUR (€)
Jun. 30, 2020
EUR (€)
Jun. 30, 2019
EUR (€)
Dec. 31, 2019
EUR (€)
Disclosure of detailed information about borrowings [line items]        
Beginning Balance   € 2,361    
Proceeds from issuance of Senior Notes   290 € 0 € 0
(Repayments) of Senior Notes   (200) 0 (100)
Proceeds from non-current borrowings   180   0
Proceeds from Swiss credit facility   18 0 0
(Repayments) / proceeds from U.S. revolving credit facility and other loans   (124)   109
Arrangement fees payment   (6)   0
Lease repayments   (17)   (86)
Borrowings assumed through business combination   0   75
Movement in interests accrued or capitalized   (1)   1
New leases and other loans   25   75
Deferred arrangement fees and other   3   5
Effects of changes in foreign exchange rates   7   29
Ending Balance   € 2,536   2,361
Exchange rate   1.1198    
Constellium SE (Issued May 2014, due 2021)        
Disclosure of detailed information about borrowings [line items]        
Beginning Balance   € 200    
(Repayments) of Senior Notes € (100)      
Ending Balance € 300 € 0   € 200
Nominal rate   4.63%   4.625%
Previously stated        
Disclosure of detailed information about borrowings [line items]        
Beginning Balance     2,151 € 2,151
IFRS 16 application | IFRS 16        
Disclosure of detailed information about borrowings [line items]        
Beginning Balance     102 102
Restated | IFRS 16        
Disclosure of detailed information about borrowings [line items]        
Beginning Balance     € 2,253 € 2,253
v3.20.2
BORROWINGS - Currency Concentration of Total Borrowings (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of detailed information about borrowings [line items]    
Borrowings € 2,536 € 2,361
U.S. Dollars    
Disclosure of detailed information about borrowings [line items]    
Borrowings 1,757 1,597
Euro    
Disclosure of detailed information about borrowings [line items]    
Borrowings 741 746
Other currencies    
Disclosure of detailed information about borrowings [line items]    
Borrowings € 38 € 18
v3.20.2
BORROWINGS - Additional Information (Details)
 6 Months Ended
Jun. 30, 2020
Secured Pan-U.S. ABL (due 2022)  
Disclosure of detailed information about borrowings [line items]  
Debt covenant, percentage of aggregate revolving loan commitments 10.00%
v3.20.2
FINANCIAL INSTRUMENTS - Financial Assets and Liabilities by Categories (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of detailed information about financial instruments [line items]    
Financial assets € 795 € 606
Financial liabilities 3,323 3,173
Trade payables and fixed assets payables    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 712 754
Borrowings    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 2,536 2,361
Other financial liabilities    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 75 58
At amortized cost    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 3,248 3,115
At amortized cost | Trade payables and fixed assets payables    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 712 754
At amortized cost | Borrowings    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 2,536 2,361
At amortized cost | Other financial liabilities    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 0 0
At Fair Value through Profit and loss    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 61 44
At Fair Value through Profit and loss | Trade payables and fixed assets payables    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 0 0
At Fair Value through Profit and loss | Borrowings    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 0 0
At Fair Value through Profit and loss | Other financial liabilities    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 61 44
At Fair Value through OCI    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 14 14
At Fair Value through OCI | Trade payables and fixed assets payables    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 0 0
At Fair Value through OCI | Borrowings    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 0 0
At Fair Value through OCI | Other financial liabilities    
Disclosure of detailed information about financial instruments [line items]    
Financial liabilities 14 14
Cash and cash equivalents    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 378 184
Trade receivables    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 386 393
Other financial assets    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 31 29
At amortized cost    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 378 184
At amortized cost | Cash and cash equivalents    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 378 184
At amortized cost | Trade receivables    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 0 0
At amortized cost | Other financial assets    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 0 0
At Fair Value through Profit and loss    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 31 29
At Fair Value through Profit and loss | Cash and cash equivalents    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 0 0
At Fair Value through Profit and loss | Trade receivables    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 0 0
At Fair Value through Profit and loss | Other financial assets    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 31 29
At Fair Value through OCI    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 386 393
At Fair Value through OCI | Cash and cash equivalents    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 0 0
At Fair Value through OCI | Trade receivables    
Disclosure of detailed information about financial instruments [line items]    
Financial assets 386 393
At Fair Value through OCI | Other financial assets    
Disclosure of detailed information about financial instruments [line items]    
Financial assets € 0 € 0
v3.20.2
FINANCIAL INSTRUMENTS - Other Financial Assets and Other Financial Liabilities Positions (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives assets € 9 € 7
Current derivatives assets 22 22
Derivatives assets 31 29
Other non-current financial assets 9 7
Other current financial assets 22 22
Other financial assets 31 29
Non-current derivatives liabilities 30 23
Current derivative liabilities 45 35
Derivatives liabilities 75 58
Other non-current financial liabilities 30 23
Other current financial liabilities 45 35
Other financial liabilities 75 58
Aluminium and premium future contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives liabilities 9 4
Current derivative liabilities 19 10
Derivatives liabilities 28 14
Energy future contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives liabilities 0 0
Current derivative liabilities 0 1
Derivatives liabilities 0 1
Other future contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives liabilities 1 2
Current derivative liabilities 4 4
Derivatives liabilities 5 6
Currency commercial contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives liabilities 15 12
Current derivative liabilities 21 16
Derivatives liabilities 36 28
Currency net debt derivatives    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives liabilities 5 5
Current derivative liabilities 1 4
Derivatives liabilities 6 9
Aluminium and premium future contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives assets 2 1
Current derivatives assets 11 8
Derivatives assets 13 9
Energy future contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives assets 0 0
Current derivatives assets 0 0
Derivatives assets 0 0
Other future contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives assets 0 0
Current derivatives assets 0 0
Derivatives assets 0 0
Currency commercial contracts    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives assets 7 5
Current derivatives assets 10 12
Derivatives assets 17 17
Currency net debt derivatives    
Disclosure of detailed information about financial instruments [line items]    
Non-current derivatives assets 0 1
Current derivatives assets 1 2
Derivatives assets € 1 € 3
v3.20.2
FINANCIAL INSTRUMENTS - Additional Information (Details) - Fair value - Level 1
€ in Millions
Jun. 30, 2020
EUR (€)
Constellium SE (Issued May 2014, due 2024)  
Disclosure of detailed information about financial instruments [line items]  
Percentage of fair value senior notes issued 100.50%
Senior notes issued € 359
Constellium N.V. Senior Unsecured Notes (Issued February 2017, due 2025)  
Disclosure of detailed information about financial instruments [line items]  
Percentage of fair value senior notes issued 101.60%
Senior notes issued € 589
Constellium N.V. EUR and USD Senior Unsecured Notes (Issued November 2017, due 2026)  
Disclosure of detailed information about financial instruments [line items]  
Percentage of fair value senior notes issued 99.70%
Senior notes issued € 844
Constellium SE (Issued June 2020, due 2028)  
Disclosure of detailed information about financial instruments [line items]  
Percentage of fair value senior notes issued 99.80%
Senior notes issued € 289
v3.20.2
FINANCIAL INSTRUMENTS - Derivatives Measured at Fair Value (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of financial instruments measured at fair value [line items]    
Other financial assets - derivatives € 31 € 29
Other financial liabilities - derivatives 75 58
Level 1    
Disclosure of financial instruments measured at fair value [line items]    
Other financial assets - derivatives 12 8
Other financial liabilities - derivatives 30 19
Level 2    
Disclosure of financial instruments measured at fair value [line items]    
Other financial assets - derivatives 19 21
Other financial liabilities - derivatives 45 39
Level 3    
Disclosure of financial instruments measured at fair value [line items]    
Other financial assets - derivatives 0 0
Other financial liabilities - derivatives € 0 € 0
v3.20.2
FINANCIAL RISK MANAGEMENT - Additional Information (Details)
€ in Millions, SFr in Millions, $ in Millions
 12 Months Ended
Dec. 31, 2019
EUR (€)
Jun. 30, 2020
EUR (€)
Jun. 30, 2020
USD ($)
Dec. 31, 2019
USD ($)
Jun. 30, 2019
EUR (€)
Jun. 30, 2019
CHF (SFr)
Dec. 31, 2018
EUR (€)
Disclosure of liquidity risk [line items]              
Revolving credit facilities outstanding € 281 € 506          
Liquidity value 516 949          
Cash and cash equivalents 184 378     € 213   € 164
Undrawn facilities 332 571          
Secured Pan-U.S. ABL (due 2022)              
Disclosure of liquidity risk [line items]              
Borrowing base | $     $ 322 $ 375      
Secured U.S. DDTL (due 2022)              
Disclosure of liquidity risk [line items]              
Borrowing base | $     166        
French inventory facility              
Disclosure of liquidity risk [line items]              
Borrowing base 82 € 78          
Forward contract              
Disclosure of liquidity risk [line items]              
Total nominal amount forward contracts | SFr           SFr 174  
Unrealized loss of the net investment hedge € 3            
Derivative classified as cash flow hedge              
Disclosure of liquidity risk [line items]              
Nominal amount hedging instrument | $     109 $ 233      
Derivative classified as cash flow hedge | Foreign exchange forward contracts              
Disclosure of liquidity risk [line items]              
Nominal amount hedging instrument | $     $ 255        
v3.20.2
FINANCIAL RISK MANAGEMENT - Effect of Foreign Currency Derivatives Impacts and Commercial Transactions Exposures (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Disclosure of nature and extent of risks arising from financial instruments [line items]        
Realized gains / (losses) on foreign currency derivatives - net € (3) € 0 € (3) € 1
Unrealized gains / (losses) on foreign currency derivatives - net 0 (1) (2) 1
Losses reclassified from OCI as a result of hedge accounting discontinuation (5) 0 (5) 0
Included in Other gains / (losses) - net        
Disclosure of nature and extent of risks arising from financial instruments [line items]        
Losses reclassified from OCI as a result of hedge accounting discontinuation (5) 0 (5) 0
Derivatives that do not qualify for hedge accounting | Included in Other gains / (losses) - net        
Disclosure of nature and extent of risks arising from financial instruments [line items]        
Realized gains / (losses) on foreign currency derivatives - net 0 1 2 3
Unrealized gains / (losses) on foreign currency derivatives - net (1) (1) (2) 1
Derivatives that qualify for hedge accounting | Included in Revenue        
Disclosure of nature and extent of risks arising from financial instruments [line items]        
Realized gains / (losses) on foreign currency derivatives - net (3) (1) (5) (2)
Unrealized gains / (losses) on foreign currency derivatives - net 1 0 0 0
Derivatives that qualify for hedge accounting | Included in Other comprehensive income / (loss)        
Disclosure of nature and extent of risks arising from financial instruments [line items]        
Unrealized gains / (losses) on foreign currency derivatives - net 2 1 (6) (7)
Gains reclassified from cash flow hedge reserve to the Unaudited Interim Consolidated Income Statement € 3 € 1 € 6 € 2
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS - Actuarial Assumptions (Details)
Jun. 30, 2020
Dec. 31, 2019
Switzerland    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 0.20% 0.15%
U.S. | Hourly pension | Bottom of range    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 2.70% 3.15%
U.S. | Hourly pension | Top of range    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 2.85% 3.25%
U.S. | Salaried pension    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 2.75% 3.25%
U.S. | OPEB | Bottom of range    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 2.70% 3.20%
U.S. | OPEB | Top of range    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 3.00% 3.40%
U.S. | Other benefits | Bottom of range    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 2.45% 3.00%
U.S. | Other benefits | Top of range    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 2.75% 3.20%
France | Retirements    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 0.95% 0.95%
France | Other benefits    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 0.85% 0.80%
Germany    
Disclosure of sensitivity analysis for actuarial assumptions [line items]    
Discount rate 1.05% 1.00%
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS - Amounts Recognized in the Consolidated Statement of Financial Position (Details) - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of net defined benefit liability (asset) [line items]    
Present value of funded obligation € 789 € 768
Fair value of plan assets (435) (445)
Deficit of funded plans 354 323
Present value of unfunded obligation 361 347
Net liability arising from defined benefit obligation 715 670
Pension Benefits    
Disclosure of net defined benefit liability (asset) [line items]    
Present value of funded obligation 789 768
Fair value of plan assets (435) (445)
Deficit of funded plans 354 323
Present value of unfunded obligation 131 127
Net liability arising from defined benefit obligation 485 450
Other Benefits    
Disclosure of net defined benefit liability (asset) [line items]    
Present value of funded obligation 0 0
Fair value of plan assets 0 0
Deficit of funded plans 0 0
Present value of unfunded obligation 230 220
Net liability arising from defined benefit obligation € 230 € 220
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS - Amounts Recognized in the Consolidated Income Statement (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Dec. 31, 2019
Dec. 31, 2018
Included in the Unaudited Interim Consolidated Income Statement            
Disclosure of defined benefit plans [line items]            
Current service cost € (6) € (6) € (14) € (12)    
Past service cost (2) 0 (2) 0    
Net interest (3) (4) (6) (8)    
Immediate recognition of gains / (losses) arising over the period (1) (2) 0 (2)    
Administration expenses (1) 0 (1) (1)    
Total (13) (12) (23) (23)    
Pension Benefits | Included in the Unaudited Interim Consolidated Income Statement            
Disclosure of defined benefit plans [line items]            
Current service cost (5) (5) (11) (9)    
Past service cost 0 0 0 0    
Net interest (2) (2) (3) (4)    
Immediate recognition of gains / (losses) arising over the period 0 0 0 0    
Administration expenses (1) 0 (1) (1)    
Total (8) (7) (15) (14)    
Other Benefits            
Disclosure of defined benefit plans [line items]            
Past service cost     (2)   € (3) € (36)
Other Benefits | Included in the Unaudited Interim Consolidated Income Statement            
Disclosure of defined benefit plans [line items]            
Current service cost (1) (1) (3) (3)    
Past service cost (2) 0 (2) 0    
Net interest (1) (2) (3) (4)    
Immediate recognition of gains / (losses) arising over the period (1) (2) 0 (2)    
Administration expenses 0 0 0 0    
Total € (5) € (5) € (8) € (9)    
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS - Movement in Net Defined Benefit Obligations (Details)
€ in Millions, $ in Millions
 3 Months Ended 6 Months Ended 12 Months Ended
Jun. 30, 2020
EUR (€)
Jun. 30, 2019
EUR (€)
Jun. 30, 2020
EUR (€)
Jun. 30, 2020
USD ($)
Jun. 30, 2019
EUR (€)
Dec. 31, 2019
EUR (€)
Dec. 31, 2018
EUR (€)
Disclosure of net defined benefit liability (asset) [line items]              
Beginning balance     € 670 $ 670      
Remeasurements due to:              
Closing balance € 715   715     € 670  
Included in the Unaudited Interim Consolidated Income Statement              
Disclosure of net defined benefit liability (asset) [line items]              
Current service cost 6 € 6 14   € 12    
Interest cost / (income) 3 4 6   8    
Past service cost 2 0 2   0    
Immediate recognition of gains / (losses) arising over the year 1 2 0   2    
Administration expenses 1 0 1   1    
Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)              
Remeasurements due to:              
—actual return less interest on plan assets     13        
—changes in financial assumptions     27        
—changes in demographic assumptions     0        
—experience losses     0        
Effects of changes in foreign exchange rates     2        
Included in the Unaudited Interim Consolidated Statement of Cash Flows              
Remeasurements due to:              
Benefits paid     (10)        
Contributions by the Group     (10)        
Contributions by the plan participants     0        
Pension Benefits | Included in the Unaudited Interim Consolidated Income Statement              
Disclosure of net defined benefit liability (asset) [line items]              
Current service cost 5 5 11   9    
Interest cost / (income) 2 2 3   4    
Past service cost 0 0 0   0    
Immediate recognition of gains / (losses) arising over the year 0 0 0   0    
Administration expenses 1 0 1   1    
Other Benefits              
Disclosure of net defined benefit liability (asset) [line items]              
Past service cost     2     3 € 36
Other Benefits | Included in the Unaudited Interim Consolidated Income Statement              
Disclosure of net defined benefit liability (asset) [line items]              
Current service cost 1 1 3   3    
Interest cost / (income) 1 2 3   4    
Past service cost 2 0 2   0    
Immediate recognition of gains / (losses) arising over the year 1 2 0   2    
Administration expenses 0 € 0 0   € 0    
Defined benefit obligations              
Disclosure of net defined benefit liability (asset) [line items]              
Beginning balance     1,115        
Remeasurements due to:              
Closing balance 1,150   1,150     1,115  
Defined benefit obligations | Included in the Unaudited Interim Consolidated Income Statement              
Disclosure of net defined benefit liability (asset) [line items]              
Current service cost     14        
Interest cost / (income)     10        
Past service cost     2        
Immediate recognition of gains / (losses) arising over the year     0        
Administration expenses     0        
Defined benefit obligations | Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)              
Remeasurements due to:              
—actual return less interest on plan assets     0        
—changes in financial assumptions     27        
—changes in demographic assumptions     0        
—experience losses     0        
Effects of changes in foreign exchange rates     7        
Defined benefit obligations | Included in the Unaudited Interim Consolidated Statement of Cash Flows              
Remeasurements due to:              
Benefits paid     (27)        
Contributions by the Group     0        
Contributions by the plan participants     2        
Defined benefit obligations | Pension Benefits              
Disclosure of net defined benefit liability (asset) [line items]              
Beginning balance     895        
Remeasurements due to:              
Closing balance 920   920     895  
Defined benefit obligations | Pension Benefits | Included in the Unaudited Interim Consolidated Income Statement              
Disclosure of net defined benefit liability (asset) [line items]              
Current service cost     11        
Interest cost / (income)     7        
Past service cost     0        
Immediate recognition of gains / (losses) arising over the year     0        
Administration expenses     0        
Defined benefit obligations | Pension Benefits | Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)              
Remeasurements due to:              
—actual return less interest on plan assets     0        
—changes in financial assumptions     16        
—changes in demographic assumptions     0        
—experience losses     1        
Effects of changes in foreign exchange rates     6        
Defined benefit obligations | Pension Benefits | Included in the Unaudited Interim Consolidated Statement of Cash Flows              
Remeasurements due to:              
Benefits paid     (18)        
Contributions by the Group     0        
Contributions by the plan participants     2        
Defined benefit obligations | Other Benefits              
Disclosure of net defined benefit liability (asset) [line items]              
Beginning balance     220        
Remeasurements due to:              
Closing balance 230   230     220  
Defined benefit obligations | Other Benefits | Included in the Unaudited Interim Consolidated Income Statement              
Disclosure of net defined benefit liability (asset) [line items]              
Current service cost     3        
Interest cost / (income)     3        
Past service cost     2        
Immediate recognition of gains / (losses) arising over the year     0        
Administration expenses     0        
Defined benefit obligations | Other Benefits | Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)              
Remeasurements due to:              
—actual return less interest on plan assets     0        
—changes in financial assumptions     11        
—changes in demographic assumptions     0        
—experience losses     (1)        
Effects of changes in foreign exchange rates     1        
Defined benefit obligations | Other Benefits | Included in the Unaudited Interim Consolidated Statement of Cash Flows              
Remeasurements due to:              
Benefits paid     (9)        
Contributions by the Group     0        
Contributions by the plan participants     0        
Plan Assets              
Disclosure of net defined benefit liability (asset) [line items]              
Beginning balance     (445)        
Remeasurements due to:              
Closing balance € (435)   (435)     € (445)  
Plan Assets | Included in the Unaudited Interim Consolidated Income Statement              
Disclosure of net defined benefit liability (asset) [line items]              
Current service cost     0        
Interest cost / (income)     (4)        
Past service cost     0        
Immediate recognition of gains / (losses) arising over the year     0        
Administration expenses     1        
Plan Assets | Included in the Unaudited Interim Consolidated Statement of Comprehensive Income / (Loss)              
Remeasurements due to:              
—actual return less interest on plan assets     13        
—changes in financial assumptions     0        
—changes in demographic assumptions     0        
—experience losses     0        
Effects of changes in foreign exchange rates     (5)        
Plan Assets | Included in the Unaudited Interim Consolidated Statement of Cash Flows              
Remeasurements due to:              
Benefits paid     17        
Contributions by the Group     (10)        
Contributions by the plan participants     € (2)        
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS - Additional Information (Details) - EUR (€)
€ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2020
Dec. 31, 2019
Dec. 31, 2018
Other Benefits      
Disclosure of defined benefit plans [line items]      
Gain recognized on negative past service costs € 2 € 3 € 36
v3.20.2
PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS - Net Defined Benefit Obligations by Country (Details)
€ in Millions, $ in Millions
Jun. 30, 2020
EUR (€)
Dec. 31, 2019
EUR (€)
Dec. 31, 2019
USD ($)
Disclosure of net defined benefit liability (asset) [line items]      
Defined benefit obligations € 1,150 € 1,115  
Plan assets (435) (445)  
Net defined benefit liability 715 670 $ 670
France      
Disclosure of net defined benefit liability (asset) [line items]      
Defined benefit obligations 164 161  
Plan assets (3) (3)  
Net defined benefit liability 161 158  
Germany      
Disclosure of net defined benefit liability (asset) [line items]      
Defined benefit obligations 140 144  
Plan assets (1) (1)  
Net defined benefit liability 139 143  
Switzerland      
Disclosure of net defined benefit liability (asset) [line items]      
Defined benefit obligations 303 299  
Plan assets (213) (214)  
Net defined benefit liability 90 85  
United States      
Disclosure of net defined benefit liability (asset) [line items]      
Defined benefit obligations 542 510  
Plan assets (218) (227)  
Net defined benefit liability 324 283  
Other      
Disclosure of net defined benefit liability (asset) [line items]      
Defined benefit obligations 1 1  
Plan assets 0 0  
Net defined benefit liability € 1 € 1  
v3.20.2
PROVISIONS - Changes in Provisions (Details) - EUR (€)
€ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Jun. 30, 2019
Jun. 30, 2020
Dec. 31, 2019
Changes in other provisions [abstract]            
Beginning balance     € 122      
Allowance     13      
Amounts used     (5)      
Unused amounts reversed     (4)      
Unwinding of discounts     1      
Effects of changes in foreign exchange rates     1      
Ending balance € 128   128      
Current         € 29 € 23
Non-Current         99 99
Total Provisions 128   128   128 122
Adjustments for restructuring costs 11 € 1 11 € 1    
Close down and environmental remediation costs            
Changes in other provisions [abstract]            
Beginning balance     90      
Allowance     0      
Amounts used     0      
Unused amounts reversed     0      
Unwinding of discounts     1      
Effects of changes in foreign exchange rates     1      
Ending balance 92   92      
Current         7  
Non-Current         85  
Total Provisions 92   92   92 90
Restructuring costs            
Changes in other provisions [abstract]            
Beginning balance     4      
Allowance     11      
Amounts used     (5)      
Unused amounts reversed     0      
Unwinding of discounts     0      
Effects of changes in foreign exchange rates     0      
Ending balance 10   10      
Current         9  
Non-Current         1  
Total Provisions 10   10   10 4
Legal claims and other costs            
Changes in other provisions [abstract]            
Beginning balance     28      
Allowance     2      
Amounts used     0      
Unused amounts reversed     (4)      
Unwinding of discounts     0      
Effects of changes in foreign exchange rates     0      
Ending balance 26   26      
Current         13  
Non-Current         13  
Total Provisions € 26   € 26   € 26 € 28
v3.20.2
PROVISIONS - Legal Claims and Other Costs (Details) - Legal claims and other costs - EUR (€)
€ in Millions
Jun. 30, 2020
Dec. 31, 2019
Disclosure of other provisions [line items]    
Litigation € 19 € 21
Disease claims 4 4
Other 3 3
Total Provisions for legal claims and other costs € 26 € 28
v3.20.2
NON-CASH INVESTING AND FINANCING TRANSACTIONS (Details) - EUR (€)
€ in Millions
 6 Months Ended 12 Months Ended
Jun. 30, 2020
Dec. 31, 2019
Disclosure of cash flow statement [Abstract]    
Property, plant and equipment acquired by finance lease € 25 € 33
Fair value of vested PSUs and RSUs € 0 € 4
v3.20.2
SHARE CAPITAL - Additional Information (Details)
Jun. 30, 2020
EUR (€)
€ / shares
shares
Dec. 31, 2019
EUR (€)
shares
Disclosure of classes of share capital [line items]    
Share capital | € € 2,758,440.64 € 3,000,000
Nominal value of ordinary fully-paid shares (in EUR per share) | € / shares € 0.02  
Number of vote rights per share 1  
Ordinary shares    
Disclosure of classes of share capital [line items]    
Number of ordinary shares (in shares) | shares 137,922,032 137,867,418
v3.20.2
SHARE CAPITAL (Details)
€ in Millions
 6 Months Ended
Jun. 30, 2020
EUR (€)
shares
Disclosure of classes of share capital [line items]  
Beginning balance € (85)
Ending balance (174)
Share capital  
Disclosure of classes of share capital [line items]  
Beginning balance 3
New shares issued 0
Ending balance 3
Share premium  
Disclosure of classes of share capital [line items]  
Beginning balance 420
New shares issued 0
Ending balance € 420
Ordinary shares  
Disclosure of classes of share capital [line items]  
Beginning balance (in shares) | shares 137,867,418
New shares issued (in shares) | shares 54,614
Ending balance (in shares) | shares 137,922,032
v3.20.2
SHARE-BASED COMPENSATION - Additional Information (Details) - EUR (€)
€ in Millions
 6 Months Ended
Jun. 30, 2020
Jun. 30, 2019
Share Based Payment Plans [line items]    
Total expense related to the potential ordinary shares € 8 € 7
PSUs    
Share Based Payment Plans [line items]    
Share based compensation vesting period 3 years  
PSUs | Bottom of range    
Share Based Payment Plans [line items]    
Percentage of vesting multiplier 0.00%  
PSUs | Top of range    
Share Based Payment Plans [line items]    
Percentage of vesting multiplier 200.00%  
RSUs    
Share Based Payment Plans [line items]    
Share based compensation vesting period 3 years  
v3.20.2
SHARE-BASED COMPENSATION - Inputs to the Model Used for PSUs Granted (Details) - PSUs
 6 Months Ended
Jun. 30, 2020
€ / shares
Disclosure of Input of Model Used for Performance-Based RSU [Line Items]  
Fair value at grant date (in euros) € 6.65
Share price at grant date (in euros) € 4.64
Dividend yield 0.00%
Expected volatility 63.00%
Risk-free interest rate (US government bond yield) 0.36%
v3.20.2
SHARE-BASED COMPENSATION - Number and Movement of Potential Shares (Details)
 6 Months Ended
Jun. 30, 2020
shares
Performance Share Units (PSUs)  
Disclosure of movement of potential shares [line items]  
Potential Shares, Beginning balance (in shares) 2,519,294
Potential Shares, Granted (in shares) 1,049,839
Potential Shares, Vested (in shares) 0
Potential Shares, Forfeited (in shares) (46,306)
Potential Shares, Ending balance (in shares) 3,522,827
Percentage of vesting multiplier 100.00%
Performance based shares forfeited upon departure of certain beneficiaries (in shares) 46,306
Performance based shares forfeited upon non-fulfillment of performance conditions (in shares) 0
Restricted Stock Units (RSUs)  
Disclosure of movement of potential shares [line items]  
Potential Shares, Beginning balance (in shares) 2,066,503
Potential Shares, Granted (in shares) 910,047
Potential Shares, Vested (in shares) (8,000)
Potential Shares, Forfeited (in shares) (50,931)
Potential Shares, Ending balance (in shares) 2,917,619
Equity Award Plans  
Disclosure of movement of potential shares [line items]  
Potential Shares, Beginning balance (in shares) 79,526
Potential Shares, Granted (in shares) 0
Potential Shares, Vested (in shares) (46,614)
Potential Shares, Forfeited (in shares) 0
Potential Shares, Ending balance (in shares) 32,912
Total Potential Shares  
Disclosure of movement of potential shares [line items]  
Potential Shares, Beginning balance (in shares) 4,665,323
Potential Shares, Granted (in shares) 1,959,886
Potential Shares, Vested (in shares) (54,614)
Potential Shares, Forfeited (in shares) (97,237)
Potential Shares, Ending balance (in shares) 6,473,358
v3.20.2
COVID-19-RELATED GOVERNMENT ASSISTANCE (Details)
€ in Millions
 6 Months Ended
Jun. 30, 2020
EUR (€)
Government Assistance [Abstract]  
Proceeds From Government Assistance € 14
v3.20.2
SUBSEQUENT EVENTS (Details)
€ in Millions
Jul. 15, 2020
EUR (€)
credit_facility
Jun. 30, 2020
EUR (€)
Dec. 31, 2019
EUR (€)
Disclosure of non-adjusting events after reporting period [line items]      
Borrowings   € 2,536 € 2,361
Entering Into New Credit Facilities | Constellium Singen GmbH and Constellium Singen Rolled Products | Guaranteed Credit Facilities | German State      
Disclosure of non-adjusting events after reporting period [line items]      
Number of credit facilities | credit_facility 2    
Borrowings € 50    
Percentage of principal outstanding amount guaranteed 80.00%