18 Subsequent Events

With effect from July 1, 2019, Vonovia implemented a re-vised regional structure in the management system of the German Rental segment. This has changed the composition of the cash-generating units that are relevant for impair- ment testing purposes, meaning that the goodwill has to be reallocated as of the effective date. At the same time, the determination of the recoverable amount and the carrying amount of each cash-generating unit has to be adjusted in the context of the impairment test, too. This results in a likely impairment loss of around € 200 million for the goodwill attributed to the Rental segment in Germany. This will be reflected in the quarterly financial statements as of September 30, 2019.

On July 25, 2019, Vonovia repaid the subordinate bond of € 600 million issued by Vonovia Finance B.V. in full.

Bochum, Germany, July 22, 2019

Rolf Buch
(CEO)

Arnd Fittkau
(CRO)

Helene von Roeder
(CFO)

Daniel Riedl
(CDO)

Cash-generating Unit (CGU)

The cash-generating unit refers, in connection with the impairment testing of goodwill, to the smallest group of assets that generates cash inflows and outflows independently of the use of other assets or other cash-generating units (CGUs).