IBERSOL | Annual Report 2021

CONSOLIDATED FINANCIAL STATEMENTS IBERSOL SGPS, S.A. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD ENDED 31st DECEMBER 2021 (Values in euros) 1. INTRODUCTION IBERSOL, SGPS, S.A. (Group or Ibersol) with head office at Praça do Bom Sucesso, Edifício Península n.º 105 a 159 – 9º, 4150-146 Porto, Portugal. Ibersol’s subsidiaries (jointly called “the Group”), operate a network of 621 units in the restaurant segment through the brands Pizza Hut, Pasta Caffé, Pans & Company, Ribs, FrescCo, Dehesa Santamaría, KFC, Burger King, O’Kilo, Quiosques, Pizza Móvil, Miit, Taco Bell, Sol, Silva Carvalho Catering e Palace Catering, coffe counters and other concessions. The Group has 544 units which it operates and 77 units under a franchise contract. Of this universe, 383 are based in Portugal, of which 364 are owned and 1 franchised, and 225 are based in Spain, spread over 152 own establishments and 73 franchisees, and 10 in Angola and 3 in other locations. Ibersol is a public limited company listed on the Euronext of Lisbon. Ibersol SGPS parent company and ultimate parent entity is ATPS - SGPS, S.A. Rentals at Airports managed by AENA In Spain, on 2nd October 2021, Law 13/2021 of October 1st was published, which established the new rules to apply to the minimum rents of lease contracts for res- taurants and retail establishments located at airports managed by AENA. This diploma determines that the guaranteed minimum annual income provided for in these contracts for the period between 15th March, 2020 and 20th June, both included, be eliminated and from 21st June, 2020 and until the annual traffic of each Airport reach the values ​recorded in 2019, the minimum guaranteed annual rents of existing contracts are reduced in direct proportion to the variation in passenger traf- fic compared to those verified in 2019. The difference between Law 13/2021 and the rebalancing claimed by Ibersol lies in the fact that: • according to the new law, the value of the minimum rent is the rent established in the contract for that year multiplied by the ratio of “airport traffic in the year / 2019 airport traffic”, until the 2019 traffic is exceeded. From that date, the RMMG becomes the contractually foreseen for that year. • according to Ibersol’s claim, the aforementioned ratio would be applied to the 2019 RMMG (and not to that forecast for each subsequent year). As a result of the application of the Ley, it was possible to determine the amounts of the rents payable for the years 2020 and 2021 (less than the contractual rents by, respectively, 23.1 and 20.4 million euros), with future rents being dependent on the traffic that may occur. The new law thus introduces a contractual modification, changing the rents of these contracts to variables, as there is no longer a guaran- 334