Amazon EU S.à r.l., Niederlassung Deutschland

München

Befreiender Jahresabschluss gem. §325 a HGB
zum Geschäftsjahr vom 01.01.2020 bis zum 31.12.2020

Amazon EU S.à r.l.

Luxemburg/Luxemburg

Annual accounts as at 31 December 2020 and Independent auditor's report

Table of contents

Independent auditor's report

Annual accounts

• Balance sheet

• Profit and loss account

• Notes to the annual accounts

Independent auditor's report

To the Shareholder of

Amazon EU S.à r.l.

38, avenue John F. Kennedy

L-1855 Luxembourg

Report on the audit of the annual accounts

Opinion

We have audited the annual accounts of Amazon EU S.à r.l. (the "Company"), which comprise the balance sheet as at 31 December 2020, and the profit and loss account for the year then ended, and the notes to the annual accounts, including a summary of significant accounting policies.

In our opinion, the accompanying annual accounts give a true and fair view of the financial position of the Company as at 31 December 2020, and of the results of its operations for the year then ended in accordance with Luxembourg legal and regulatory requirements relating to the preparation and presentation of the annual accounts.

Basis for Opinion

We conducted our audit in accordance with the Law of 23 July 2016 on the audit profession (the "Law of 23 July 2016") and with International Standards on Auditing ("ISAs") as adopted for Luxembourg by the "Commission de Surveillance du Secteur Financier" ("CSSF"). Our responsibilities under the Law of 23 July 2016 and ISAs are further described in the "responsibilities of the "réviseur d'entreprises agréé" for the audit of the annual accounts" section of our report. We are also independent of the Company in accordance with the International Ethics Standards Board for Accountants' Code of Ethics for Professional Accountants ("IESBA Code") as adopted for Luxembourg by the CSSF together with the ethical requirements that are relevant to our audit of the annual accounts, and have fulfilled our other ethical responsibilities under those ethical requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Other information

The Management is responsible for the other information. The other information comprises the information included in the management report but does not include the annual accounts and our report of the "réviseur d'entreprises agréé" thereon.

Our opinion on the annual accounts does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the annual accounts, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the annual accounts or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report this fact. We have nothing to report in this regard.

Responsibilities of the Management and those charged with governance for the annual accounts

The Management is responsible for the preparation and fair presentation of these annual accounts in accordance with Luxembourg legal and regulatory requirements relating to the preparation and presentation of the annual accounts, and for such internal control as the Management determines is necessary to enable the preparation of annual accounts that are free from material misstatement, whether due to fraud or error.

In preparing the annual accounts, the Management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Responsibilities of the "réviseur d'entreprises agréé" for the audit of the annual accounts

Our objectives are to obtain reasonable assurance about whether the annual accounts as a whole are free from material misstatement, whether due to fraud or error, and to issue a report of the "reviseur d'entreprises agree" that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with the Law of 23 July 2016 and with ISAs as adopted for Luxembourg by the CSSF will always detect a material misstatement when it exists.

Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these annual accounts.

As part of an audit in accordance with the Law of 23 July 2016 and with ISAs as adopted for Luxembourg by the CSSF, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

•	Identify and assess the risks of material misstatement of the annual accounts, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
•	Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.
•	Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Management.

•

Conclude on the appropriateness of Management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our report of the "réviseur d'entreprises agréé" to the related disclosures in the annual accounts or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our report of the "réviseur d'entreprises agréé". However, future events or conditions may cause the Company to cease to continue as a going concern.

•

Evaluate the overall presentation, structure and content of the annual accounts, including the disclosures, and whether the annual accounts represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Report on other legal and regulatory requirements

The management report is consistent with the annual accounts and has been prepared in accordance with applicable legal requirements.

Luxembourg, 18 February 2021

Ernst & Young
Société anonyme
Cabinet de révision agréé

Gaël Denis

RCSL Nr. :

B101818

Matricule :

2004 2413 314

BALANCE SHEET Financial year from 01/01/2020 to 31/12/2020 (in EUR)

Amazon EU S.à r.l.

38, avenue John F. Kennedy

L-1855 Luxembourg

ASSETS

	Reference(s)		Current year		Previous year
A. Subscribed capital unpaid	1101		101	-	102	-
I. Subscribed capital not called	1103		103	-	104	-
II. Subscribed capital called but unpaid	1105		105	-	106	-
B. Formation expenses	1107		107	-	108	-
C. Fixed assets	1109		109	4,147,463,653	110	3,040,912,817
I. Intangible assets	1111	3	111	-	112	6,634,570
1. Costs of development	1113		113	-	114	-
2. Concessions, patents, licences, trade marks and similar rights and assets, if they were	1115		115	-	116	1,932,108
a) acquired for valuable consideration and need not be shown under C.1.3	1117		117	-	118	1,932,108
b) created by the undertaking itself	1119		119	-	120	-
3. Goodwill, to the extent that it was acquired for valuable consideration	1121		121	-	122	-
4. Payments on account and intangible assets under development	1123		123	-	124	4,702,462
II. Tangible assets	1125	4	125	149,760,409	126	119,104,128
1. Land and buildings	1127		127	-	128	-
2. Plant and machinery	1129		129	-	130	-

The notes in the annex form an integral part of the annual accounts

	Reference(s)		Current year		Previous year
3. Other fixtures and fittings, tools and equipment	1131		131	139,902,591	132	118,306,434
4. Payments on account and tangible assets in the course of construction
	1133		133	9,857,818	134	797,694
III. Financial assets	1135		135	3,997,703,244	136	2,915,174,119
1. Shares in affiliated undertakings	1137	5	137	3,995,947,554	138	2,913,748,570
2. Loans to affiliated undertakings	1139		139	-	140	-
3. Participating interests	1141		141	-	142	-
4. Loans to undertakings with which the undertaking is linked by virtue of participating interests	1143		143	-	144	-
5. Investments held as fixed assets	1145		145	-	146	-
6. Other loans	1147		147	1,755,690	148	1,425,549
D. Current assets	1151		151	11,484,470,897	152	8,723,800,821
I. Stocks	1153	6	153	5,434,893,348	154	5,028,253,090
1. Raw materials and consumables	1155		155	25,986,308	156	18,144,300
2. Work in progress	1157		157	-	158	-
3. Finished goods and goods for resale	1159		159	5,408,907,040	160	5,010,108,790
4. Payments on account	1161		161	-	162	-
II. Debtors	1163		163	5,962,971,941	164	3,542,310,568
1. Trade debtors	1165	7	165	1,594,312,633	166	1,336,718,627
a) becoming due and payable within one year	1167		167	1,593,700,877	168	1,336,106,871
b) becoming due and payable after more than one year	1169		169	611,756	170	611,756
2. Amounts owed by affiliated undertakings	1171	8	171	4,020,568,549	172	1,881,167,660
a) becoming due and payable within one year	1173		173	3,896,586,500	174	1,777,061,509
b) becoming due and payable after more than one year	1175		175	123,982,049	176	104,106,151
3. Amounts owed by undertakings with which the undertaking is linked by virtue of participating interests	1177		177	-	178	-
a) becoming due and payable within one year	1179		179	-	180	-
b) becoming due and payable after more than one year	1181		181	-	182	-
4. Other debtors	1183		183	348,090,759	184	324,424,281
a) becoming due and payable within one year	1185		185	51,143,928	186	33,018,434
b) becoming due and payable after more than one year	1187		187	296,946,831	188	291,405,847
III. Investments	1189		189	613,532	190	1,126,278
1. Shares in affiliated undertakings	1191		191	-	192	-
2. Own shares	1209		209	-	210	-
3. Other investments	1195		195	613,532	196	1,126,278
IV. Cash at bank and in hand	1197		197	85,992,076	198	152,110,885
E. Prepayments	1199		199	34,484,673	200	24,034,553
TOTAL (ASSETS)			201	15,666,419,223	202	11,788,748,191

CAPITAL, RESERVES AND LIABILITIES

	Reference(s)		Current year		Previous year
A. Capital and reserves	1301	9	301	1,631,006,037	302	900,989,783
I. Subscribed capital	1303		303	125,000	304	125.000
II. Share premium account	1305		305	4,277,383,070	306	2,365,405,812
III. Revaluation reserve	1307		307	60,257,092	308	54,796,127
IV. Reserves	1309		309	3,750	310	3,750
1. Legal reserve	1311		311	3,750	312	3,750
2. Reserve for own shares	1313		313	-	314	-
3. Reserves provided for by the articles of association	1315		315	-	316	-
4. Other reserves, including the fair value reserve	1429		429	-	430	-
a) other available reserves	1431		431	-	432	-
b) other non available reserves	1433		433	-	434	-
V. Profit or loss brought forward	1319		319	(1,519,340,906)	320	(815,551,848)
VI. Profit or loss for the financial year	1321		321	(1,187,421,969)	322	(703,789,058)
VII. Interim dividends	1323		323	-	324	-
VIII. Capital investment subsidies	1325		325	-	326	-
B. Provisions	1331		331	-	332	-
1. Provisions for pensions and similar obligations	1333		333	-	334	-
2. Provisions for taxation	1335		335	-	336	-
3. Other provisions	1337		337	-	338	-
C. Creditors	1435		435	12,140,662,646	436	9,354,694,537
1. Debenture loans	1437		437	-	438	-
a) Convertible loans	1439		439	-	440	-
i) becoming due and payable within one year	1441		441	-	442	-
ii) becoming due and payable after more than one year	1443		443	-	444	-
b) Non convertible loans	1445		445	-	446	-
i) becoming due and payable within one year	1447		447	-	448	-
ii) becoming due and payable after more than one year	1449		449	-	450	-
2. Amounts owed to credit institutions
	1355		355	-	356	-
a) becoming due and payable within one year	1357		357	-	358	-
b) becoming due and payable after more than one year	1359		359	-	360	-
3. Payments received on account of orders in so far as they are shown separately as deductions from stocks	1361		361	-	362	-
a) becoming due and payable within one year	1363		363	-	364	-
b) becoming due and payable after more than one year	1365		365	-	366	-
4. Trade creditors	1367	10	367	10,388,236,397	368	7,810,646,154
a) becoming due and payable within one year	1369		369	10,388,236,397	370	7,810,646,154
b) becoming due and payable after more than one year	1371		371	-	372	-
5. Bills of exchange payable	1373		373	-	374	-
a) becoming due and payable within one year	1375		375	-	376	-
b) becoming due and payable after more than one year	1377		377	-	378	-
6. Amounts owed to affiliated undertakings	1379	11	379	699,991,456	380	774,074,336
a) becoming due and payable within one year	1381		381	699,991,456	382	769,006,193
b) becoming due and payable after more than one year	1383		383	-	384	5,068,143
7. Amounts owed to undertakings with which the undertaking is linked by virtue of participating interests	1385		385	-	386	-
a) becoming due and payable within one year	1387		387	-	388	-
b) becoming due and payable after more than one year	1389		389	-	390	-
8. Other creditors	1451		451	1,052,434,793	452	769,974,047
a) Tax authorities	1393	12	393	509,033,060	394	331,880,915
b) Social security authorities	1395		395	34,594,794	396	25,692,798
c) Other creditors	1397	13	397	508,806,939	398	412,400,334
i) becoming due and payable within one year	1399		399	453,559,913	400	334,826,581
ii) becoming due and payable after more than one year	1401		401	55,247,026	402	77,573,753
D. Deferred income	1403	14	403	1,894,750,540	404	1,533,063,871
TOTAL (CAPITAL, RESERVES AND LIABILITIES)			405	15,666,419,223	406	11,788,748,191

PROFIT AND LOSS ACCOUNT

Financial year from 01/01/2020 to 31/12/2020 (in EUR)

Amazon EU S.à r.l.

38, avenue John F. Kennedy

L-1855 Luxembourg

	Reference(s)		Current year		Previous year
1. Net turnover	1701		701	43,840,283,811	702	32,185,076,598
2 Variation in stocks of finished goods and in work in progress	1703		703	-	704	-
3 Work performed by the undertaking for its own purposes and capitalised	1705		705	-	706	-
4. Other operating income	1713		713	3,846,554	714	4,211,887
5. Raw materials and consumables and other external expenses	1671		671	(44,193,586,234)	672	(32,489,202,567)
a) Raw materials and consumables	1601		601	(31,776,245,172)	602	(23,864,687,932)
b) Other external expenses	1603	15	603	(12,417,341,062)	604	(8,624,514,635)
6. Staff costs	1605	16 & 17	605	(537,917,633)	606	(438,977,978)
a) Wages and salaries	1607		607	(439,565,187)	608	(358,639,133)
b) Social security costs	1609		609	(98,352,446)	610	(80,338,845)
i) relating to pensions	1653		653	(32,768,178)	654	(27,115,336)
ii) other social security costs	1655		655	(65,584,268)	656	(53,223,509)
c) Other staff costs	1613		613	-	614	-
7. Value adjustments	1657		657	(168,881,341)	658	(90,991,350)
a) in respect of formation expenses and of tangible and intangible fixed assets	1659	3&4	659	(31,569,151)	660	(30,104,563)
b) in respect of current assets	1661	6&7	661	(137,312,190)	662	(60,886,787)
8. Other operating expenses	1621	18	621	(229,879,403)	622	(165,675,639)
9. Income from participating interests	1715		715	45,215,913	716	33,633,418
a) derived from affiliated undertakings	1717	5	717	45,215,913	718	33,633,418
b) other income from participating interests	1719		719	-	720	-
10. Income from other investments and loans forming part of the fixed assets	1721		721	-	722	-
a) derived from affiliated undertakings	1723		723	-	724	-
b) other income not included under a)	1725		725	-	726	-
11. Other interest receivable and similar income	1727	19	727	118,157,615	728	60,514,509
a) derived from affiliated undertakings	1729	8	729	3,959,350	730	3,076,689
b) other interest and similar income	1731		731	114,198,265	732	57,437,820
12. Share of profit or loss of undertakings accounted for under the equity method	1663		663	-	664	-
13. Value adjustments in respect of financial assets and of investments held as current assets	1665		665	(7,111,625)	666	(25,219)
14. Interest payable and similar expenses	1627	20	627	(91,294,803)	628	(82,301,481)
a) concerning affiliated undertakings	1629	11	629	(9,874,210)	630	(1,375,017)
b) other interest and similar expenses	1631		631	(81,420,593)	632	(80,926,464)
15. Tax on profit or loss	1635	12	635	56,386,039	636	294,253,156
16. Profit or loss after taxation	1667		667	(1,164,781,107)	668	(689,484,666)
17. Other taxes not shown under items 1 to 16	1637	12	637	(22,640,862)	638	(14,304,392)
18. Profit or loss for the financial year	1669		669	(1,187,421,969)	670	(703,789,058)

Notes to the annual accounts

As at 31 December 2020

Note 1 - General

Amazon EU S.à r.l. (the "Company") was incorporated in Luxembourg on 8 June 2004. The registered office is established at 38, avenue John F. Kennedy, L-1855 Luxembourg. The registration number is B 101.818.

The financial year begins on 1 January and ends on 31 December of each year.

The Company's principal purpose is to sell goods and services through certain websites. The Company also holds interests in other companies and other assets.

The Company has registered branches in France, Germany, Italy, the Netherlands, Poland, Spain, Sweden and the United Kingdom.

The Company's accounts are included within the consolidated accounts of Amazon.com, Inc., located in the United States at 410 Terry Avenue North, Seattle, Washington 98109-5210, USA.

As Amazon.com, Inc., which is the ultimate parent, prepares consolidated accounts, the Company is exempt from preparing consolidated accounts. These consolidated accounts are available at the ultimate parent company's office located in the United States.

Note 2 - Significant accounting policies

General principles

The annual accounts are drawn up in conformity with the Luxembourg legal and regulatory requirements and according to generally accepted accounting principles applicable in Luxembourg.

Tangible and intangible fixed assets

Tangible and intangible fixed assets are stated at cost less accumulated depreciation and amortization and any impairment adjustments. Depreciation and amortization are calculated on a straight line basis over the estimated useful life of the assets (1 to 5 years for intangible fixed assets and 2 to 10 years for tangible fixed assets). The carrying values of tangible and intangible fixed assets are reviewed for impairment when events or changes in circumstances indicate that the carrying value may not be recoverable.

Financial fixed assets

Shares in affiliated undertakings are valued at their historical cost.

When management considers that a permanent impairment in value of financial fixed assets exists, a value adjustment is recognized, so that they are valued at the lower value to be attributed to them at the balance sheet date. These value adjustments may not be continued if the events for which the value adjustments were made have ceased to apply.

Stocks

Stocks are accounted for using the FIFO method, and are valued at the lower of cost or market value. This valuation requires the Company to make judgments, based on current available information, about the likely method of disposition, such as through sales to individual customers, returns to product vendors, or liquidations, and expected recoverable values of each disposition category. Based on this evaluation, the Company adjusts the carrying amount of goods for resale to lower of cost or market value.

Debtors

Debtors are recorded at their nominal value. A value adjustment is made when their reimbursement is partly or completely in doubt. These value adjustments may not be continued if the reasons for which the value adjustments were made have ceased to apply.

Other investments

Other investments primarily consist of short term deposits.

Cash at bank and in hand

Cash at bank and in hand includes cash with banks.

Creditors

Debts are recorded at their repayment value.

Revenue recognition

Revenue is measured based on the amount of consideration that the Company expects to receive, reduced by estimates for return allowances, promotional discounts, and rebates. Revenue excludes any amounts collected on behalf of third parties, including sales and indirect taxes. In arrangements where the Company has multiple performance obligations, the transaction price is allocated to each performance obligation using the relative stand-alone selling price.

Revenue primarily consists of net product sales and related revenues. Revenue for sale of goods is recognized when control of the goods is transferred to the customer, which generally occurs upon our delivery to a third-party carrier, or in the case of an Amazon delivery, to the customer. Revenue for services is recognized when the services are rendered.

Foreign currency translation

The Company maintains its books and records in EUR. Transactions in other currencies are translated into EUR at the rates of exchange prevailing on the dates of the transactions.

Non-monetary assets and liabilities denominated in other currencies are translated into EUR at the historical exchange rate. Other assets and liabilities denominated in other currencies are translated into EUR at the exchange rate at the balance sheet date. Realized exchange gains and losses and unrealized exchange losses are reflected in the profit and loss account. Unrealized exchange gains are recorded in Capital and reserves under "Revaluation reserve".

The Company has business units which transact most of their business in their own functional currency. For purposes of including these business units into the annual accounts of the Company, the balance sheet is translated from non-EUR functional currencies to EUR using the closing rate method, including amounts owed between the non-EUR functional currency business units and EUR business units. Profit and loss accounts are translated at average exchange rates prevailing throughout the year. Exchange differences arising from this translation are recorded in Capital and reserves under "Revaluation reserve".

The following table presents the currency translation rates from functional currencies for the non-EUR business units to EUR as of 31 December 2020 and 2019, and the average rates for the years ended 31 December 2020 and 2019.

	2020 Average rate	31 December 2020 Closing rate	2019 Average rate	31 December 2019 Closing rate
GBP	1.13	1.12	1.14	1.18
SEK	0.10	0.10	-	-

Use of estimates

The preparation of annual accounts in conformity with the Luxembourg legal and regulatory requirements requires estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and related disclosures of contingent liabilities in the annual accounts. Estimates are used for, but not limited to, useful lives of fixed assets, valuation and impairment of investments, stock valuation and stocks purchase commitments, collectability of receivables, determining the selling price of products and services in multiple element revenue arrangements and determining the amortization period of these elements, incentive discount offers, sales returns, vendor funding, income taxes and contingencies. Actual results could differ materially from those estimates.

Note 3 - Intangible assets

Intangible assets mainly consisted of intellectual property rights and other intangible assets.

	31 December 2020	31 December 2019
	TEUR	TEUR
Cost at the beginning of the year	31,895	37,854
Additions	-	-
Disposals	(31,895)	(5,959)
Cost at the end of the year	-	31,895
Accumulated amortization at the beginning of the year	(25,260)	(19,847)
Amortization charged during the year	(1,932)	(5,413)
Disposals	27,192	-
Accumulated amortization at the end of the year	-	(25,260)
Net book value at the end of the year	-	6,635

Note 4 - Tangible assets

Tangible assets consist of furniture and equipment, leasehold improvements, technology infrastructure and tangible assets under development.

	31 December 2020	31 December 2019
	TEUR	TEUR
Cost at the beginning of the year	173,764	111,406
Additions	62,084	68,925
Disposals	(18,481)	(6,567)
Cost at the end of the year	217,367	173,764
Accumulated depreciation at the beginning of the year	(54,660)	(35,815)
Depreciation charged during the year	(29,637)	(24,692)
Disposals	16,690	5,847
Accumulated depreciation at the end of the year	(67,607)	(54,660)
Net book value at the end of the year	149,760	119,104

Note 5 - Shares in affiliated undertakings

Undertakings in which the Company holds at least 20% of their share capital are as follows:

Company name		Ownership		Carrying amount
		31 December 2020	31 December 2019	31 December 2020	31 December 2019
		%	%	TEUR	TEUR
Amazon UK Services Ltd., UK	(1)	100%	100%	1,387,118	1,053,288
Amazon Data Services Ireland Limited, Ireland	(2)	100%	100%	1,074,440	644,440
Amazon Fulfillment Poland sp. z o.o., Poland		100%	100%	499,993	499,993
Amazon Spain Fulfillment, S.L.U., Spain	(3)	100%	100%	273,149	98,149
Amazon Italia Logistica S.R.L., Italy	(4)	100%	100%	254,010	229,010
Others				507,238	388,869
Total				3,995,948	2,913,749

(1) In December 2020, the Company increased its investment in Amazon UK Services Ltd., UK by a cash contribution of TGBP 300,000 (TEUR 333,830).
(2) In 2020, the Company increased its investment in Amazon Data Services Ireland Limited, Ireland by cash contributions of TEUR 430,000.
(3) In 2020, the Company increased its investment in Amazon Spain Fulfillment, S.L.U., Spain by cash contributions of TEUR 175,000.
(4) In December 2020, the Company increased its investment in Amazon Italia Logistica, S.R.L., Italy by a cash contribution of TEUR 25,000.

Art. 65 paragraph (1) 2° of the amended law of 19 December 2002 on the register of commerce and companies and the accounting and annual accounts of undertakings (the "law") requires the disclosure of the amount of capital and reserves and profit and loss for the last financial year of each affiliated undertaking. In conformity with art 67 (3) of the law these details have been omitted since the undertakings are included in the consolidated annual accounts of Amazon.com, Inc..

Note 6 - Stocks

	31 December 2020	31 December 2019
	TEUR	TEUR
Stocks - gross	5,965,100	5,442,338
Provision for value adjustments	(530,207)	(414,085)
Stocks	5,434,893	5,028,253

Note 7 - Trade debtors

	31 December 2020	31 December 2019
	TEUR	TEUR
Outstanding billed revenues	1,690,561	1,411,777
Provision for doubtful accounts	(96,248)	(75,058)
Trade debtors	1,594,313	1,336,719

Note 8 - Amounts owed by affiliated undertakings

Company name	Becoming due and payable		Total as at 31 December
	within 1 year	after 1 year	2020	2019
	TEUR	TEUR	TEUR	TEUR
Amazon Italia Logistica S.R.L., Italy
Loan	57,364	70,000	127,364	56,862
Interest	47	-	47	501
Amazon Connect Technology Services (Beijing) Co., Ltd., People's Republic of China
Loan	-	47,244	47,244	47,244
Interest	575	-	575	578
Amazon Europe Core S.à r.l., Luxembourg	3,314,468	-	3,314,468	1,454,373
Amazon Services Europe S.à r.L, Luxembourg	326,419	-	326,419	207,933
Others	197,714	6,738	204,452	113,677
Total	3,896,587	123,982	4,020,569	1,881,168

The amounts owed by affiliated undertakings mainly consist of cash pooling arrangements, receivables for services provided and loans.

The interest income related to loans amounts to TEUR 1,510 for the year ended 31 December 2020 (2019: TEUR 1,399).

Note 9 - Capital and reserves

	31 December 2019	Allocation of results	Capital increase	Share premium return	Translation adjustment	Results for the year	31 December 2020
	TEUR	TEUR	TEUR	TEUR	TEUR	TEUR	TEUR
Subscribed capital	125	-	-	-	-	-	125
Share premium account	2,365,406	-	1,914,000	(2,023)	-	-	4,277,383
Revaluation reserve	54,796	-	-	-	5,461	-	60,257
Legal reserve	4	-	-	-	-	-	4
Profit or (loss) brought forward	(815,552)	(703,789)	-	-	-	-	(1,519,341)
Profit or (loss) for the financial year	(703,789)	703,789	-	-	-	(1,187,422)	(1,187,422)
Total	900,990	-	1,914,000	(2,023)	5,461	(1,187,422)	1,631,006

Subscribed capital

As at 31 December 2020, the subscribed capital amounts to TEUR 125 divided into 10 shares with a par value of TEUR 12.5 each.

Share premium account

In 2020, the Company received cash contributions of TEUR 1,914,000 allocated to the share premium account.

In May 2020, the Company undertook a share premium reimbursement of TEUR 2,023.

On February 8, 2021, the Company received a cash contribution of TEUR 500,000 that has been allocated to the share premium account.

Legal reserve

In accordance with the Luxembourg company law, the Company is required to transfer a minimum of 5% of its net profit for each financial year to a legal reserve. This requirement ceases to be necessary once the legal reserve reaches 10% of the issued subscribed capital. The legal reserve is not available for distribution to the shareholder.

Note 10 - Trade creditors

Trade creditors are due and payable within one year.

Note 11 - Amounts owed to affiliated undertakings

Company name	31 December 2020	31 December 2019
	TEUR	TEUR
Amazon Digital UK Limited, UK	124,860	63,465
Amazon France Logistique SAS, France	61,816	32,974
Amazon Italia Logistica S.R.L., Italy	60,205	30,950
Amazon Payments UK Limited, UK	54,314	78,032
Amazon Spain Fulfillment, S.L.U., Spain	50,677	28,250
Amazon Media EU S.à r.l., Luxembourg	48,858	46,002
Amazon Road Transport Spain, S.L.U., Spain	34,952	28,488
Amazon France Transport SAS, France	34,654	42,625
Amazon Deutschland Transport GmbH, Germany	27,928	26,513
Amazon.com Services LLC, USA	23,400	19,667
Amazon Digital Germany GmbH, Germany	15,274	18,361
Amazon Logistik GmbH, Germany	10,380	10,791
Others	152,673	347,956
Total	699,991	774,074

The amounts owed to affiliated undertakings mainly consist of payables for services provided. Balances are due and payable within one year.

Note 12 - Tax

The Company is subject to all taxes applicable to commercial companies in Luxembourg, France, Germany, Italy, the Netherlands, Poland, Spain, Sweden and the United Kingdom. The Company has secured approval in conformity with Article 164 bis of the Luxembourg law on income tax, for the fiscal consolidation of the Company with Amazon Europe Core S.à r.l., Amazon Media EU S.à r.l., Amazon Services Europe S.à r.l., Amazon Payments Europe S.C.A., Amazon Business EU SARL, Twitch Europe S.à r.l., Amazon International Services SARL, Amazon Web Services EMEA SARL and Amazon Eurasia Holdings S.à r.l.. The Company is under, or may be subject to, audit or examination and additional assessments by relevant authorities of these particular jurisdictions. Although we believe our tax estimates are reasonable, the final outcome of such audits, investigations, and any other tax controversies could be materially different from our historical tax accruals.

In October 2014, the European Commission opened a formal investigation to examine whether decisions by the tax authorities in Luxembourg with regard to the corporate income tax paid by the Company and certain of its Luxembourg affiliates comply with European Union rules on state aid. On October 4, 2017, the European Commission announced its decision that determinations by the tax authorities in Luxembourg did not comply with European Union rules on state aid. Based on that decision the European Commission announced an estimated recovery amount of approximately €250 million, plus interest, for the period May 2006 through June 2014, and ordered Luxembourg tax authorities to calculate the actual amount of additional taxes subject to recovery. Luxembourg computed an initial recovery amount, consistent with the European Commission's decision, that we deposited into escrow in March 2018, subject to adjustment pending conclusion of all appeals. In December 2017, Luxembourg appealed the European Commission's decision. In May 2018, we appealed. We believe the European Commission's decision to be without merit and will continue to defend ourselves vigorously in this matter.

Note 13 - Other creditors

Debts are recorded at their repayment value and summarized as follows:

	Becoming due and payable		Total as at 31 December
	within 1 year	after 1 year	2020	2019
	TEUR	TEUR	TEUR	TEUR
Sales and related services	368,582	-	368,582	295,287
Other	84,978	55,247	140,225	117,113
Total	453,560	55,247	508,807	412,400

Note 14 - Deferred income

Deferred income is recorded when payments are received in advance of performing service obligations and mainly consists of membership subscriptions and unredeemed gift certificates.

Note 15 - Other external expenses

Other external expenses are related to the operations of the Company, including provision of services from affiliated undertakings.

Note 16 - Staff costs

The Company employed an average of 5,262 employees during the financial year 2020 (2019: 4,302).

Note 17 - Emoluments

No emoluments, advances or credits were granted to the Board of Managers during the current and previous financial year.

Note 18 - Other operating expenses

Other operating expenses are primarily related to license agreements and royalties with affiliated undertakings.

Note 19 - Other interest receivable and similar income

Other interest receivable and similar income are primarily related to realized foreign exchange gains.

Note 20 - Interest payable and similar expenses

Interest payable and similar expenses are primarily related to foreign exchange losses.

Note 21 - Contingencies

The Company is from time to time subject to various claims, litigation, and other proceedings, including regulatory proceedings in the course of its operations. The outcomes of such proceedings and other contingencies are inherently unpredictable, subject to significant uncertainties, and could be material to the Company's balance sheet and profit and loss account for a particular period. The Company evaluates, on a regular basis, developments in its proceedings and other contingencies that could affect the Company's estimates and assumptions, and makes adjustments and changes to its position as appropriate. Until the final resolution of such matters, if any of these estimates and assumptions change or prove to have been incorrect, the Company may recognize charges which could have a material effect on its balance sheet and profit and loss account.

See also "Note 12 - Tax".

Note 22 - Commitments

At 31 December 2020, the operating lease commitment amounts to TEUR 445,896 (2019: TEUR 271,826).

During the ordinary course of business, the Company provides guarantees, including guarantees for property leases on behalf of its affiliated undertakings.