daimler-ir-interimreport-q1-2020

E | INTERIM CONSOLIDATED FINANCIAL STATEMENTS 43
BAIC Motor
In the first quarter of 2020, due to a reassessment of the
business development in light of the COVID-19 pandemic, the
Group recognized an impairment loss of €150 million with
respect to its investment in BAIC Motor Corporation Ltd. (BAIC
Motor). The loss is included in the line item profit/loss on
equity-method investments, net.
Other joint ventures accounted for using the equitymethod
In December 2019, Mercedes-Benz AG and Zhejiang Geely
Holding Group founded the joint venture smart Automobile
Co., Ltd. (smart). In the first quarter of 2020, each company
contributed RMB 2.7 billion to the equity of the joint venture.
The share of Mercedes-Benz AG essentially consisted of the
contribution of the smart brand, leading to a positive effect
on earnings in the amount of €154 million, recognized in other
operating income. The joint venture is allocated to the
Mercedes-Benz Cars & Vans segment.
11. Receivables from financial services
Receivables from financial services are shown in the following
table:
E.15
Receivables from financial services
In millions of euros
March 31, 2020 Dec. 31, 2019
Current Non-current Total Current Non-current Total
Sales financing with customers 18,359 30,369 48,728 18,963 30,627 49,590
Sales financing with dealers 20,024 3,924 23,948 21,016 3,573 24,589
Finance lease contracts 10,953 19,391 30,344 11,461 19,329 30,790
Gross carrying amount 49,336 53,684 103,020 51,440 53,529 104,969
Loss allowances -915 -836 -1,751 -659 -649 -1,308
Net carrying amount 48,421 52,848 101,269 50,781 52,880 103,661
At March 31, 2020, €0.4 billion of the loss allowances relates
to the increase in the allowance for credit losses recognized
at the Daimler Mobility segment as a result of the worsened
economic outlook in connection with the COVID-19 pandemic.