BORUSSIA DORTMUNDGmbH & Co. Kommanditgesellschaft auf Aktien, Dortmund Key Audit Matters in the Audit of the for the financial year from July 1, 2020 to June 30, Consolidated Financial Statements 2021. These matters were addressed in the context Key audit matters are those matters that, in our of our audit of the consolidated financial statements professional judgment, were of most significance in as a whole, and in forming our opinion thereon, we our audit of the consolidated financial statements do not provide a separate opinion on these matters. Measurement of player registrations as well as the completeness and measurement of liabilities from transfers We refer to the information in the notes to the Furthermore, there is generally the risk of consolidated financial statements on accounting inappropriate subsequent measurement of the policies (Section: Intangible assets) and to the intangible assets and transfer liabilities, as well as explanatory notes to the consolidated statement of of the completeness of transfer liabilities that may financial position (Section (1) Intangible assets, (8) arise if conditional contractual components or Assets held for sale and (13) Trade payables). contract modifications materialize. THE CONSOLIDATED FINANCIAL STATEMENT RISK OUR AUDIT APPROACH Player registrations in the amount of EUR 192.4 By examining material transfer and agent million are presented under intangible assets in the agreements for new players, we assessed player consolidated financial statements of Borussia registrations in terms of how the acquisition costs Dortmund. Player registrations decreased to EUR and related liabilities were determined. 192.4 million in the financial year ended due to additions of EUR 58.7 million, disposals of EUR 0.8 As part of subsequent measurement, we checked million, write-downs of EUR 87.9 million and material transfer and agent agreements to assess reclassifications of EUR 1.4 million. Trade payables whether conditions had occurred in financial year include transfer liabilities of EUR 87.7 million. 2020/2021 triggering subsequent acquisition costs and additional liabilities from transfers and whether The acquisition cost of player registrations is these were recognized accordingly in the financial determined based on individual and complex transfer statements. agreements between the transferring and receiving clubs as well as any agreements with players' agents Furthermore, we examined material contract concluded in this context. Due to the heterogeneity modifications or contract renewals for subsequent and complexity of the contract provisions, there is acquisition costs and additional liabilities and generally the risk that the intangible asset and the whether the adjustments to useful lives were related transfer liability are not measured reasonable. appropriately on initial recognition in the consolidated financial statements. OUR OBSERVATIONS Transfer and agent agreements were appropriately assessed in terms of measuring player registrations and measuring the completeness of the related transfer liabilities. 226